Polestar surges as it sets out ambitious growth plan

Polestar (Nasdaq: PSNY) stock surged around 23% higher in Monday’s dealing after unveiling its plan to expand its commercial footprint – to launch in seven new markets in 2025.

The electric vehicle company is targeting France, Czech Republic, Slovakia, Hungary, Poland, Thailand, and Brazil.

It is part of Polestar’s shift to a “non-genuine” agency sales model across Europe.

To those unfamiliar with the term “non-genuine”, it means that Polestar vehicles can be sold by third-party car dealerships that do not have a direct, official relationship with the manufacturer.

So, rather than using primary branded dealerships, Polestar will distribute to a wider range of sales channels. Also, it means that in such territories pricing strategies are more flexible.

“Expanding our retail operations with new and existing partners will enable us to reach more customers,” Polestar chief executive Thomas Ingenlath said.

“Through these partnerships and expansion, we will capitalise on our strong brand and growing model line-up.”

Customers can configure and order their Polestar vehicles online, and through an expanding network of dealerships, the company added.

Polestar, the EV sister brand to Volvo, noted that in Sweden and Norway it has already adopted this new sales model, with other key markets set to follow in the second half of the year.

The company also announced a number of senior commercial appointments include a managing director for the UK, and a new ‘head of North America’.