Volvo Cars acquired 100% stake of Sweden based car tuning company ‘Polestar’

Recently Volvo has announced that it has successfully bought 100 per cent stake in the Sweden based car tuning company Polestar. Polestar and Volvo have actually been working on both motorsport and road cars since 1996. And with this acquisition, the company is planning to introduce between 1,000 and 1,500 Polestar models in the medium-term, with bigger plans for the more distant future. The CEO of Volvo Cars, Hakan Samuelsson recently said, “Driving a Volvo Polestar is a special experience. We have decided to bring this experience to more Volvo drivers, placing the full resources of Volvo behind the development of Polestar as the model name for our high performance cars.” Moreover, the Gothenburg-based company is opening a factory in the U.S and seeking to double sales over the medium term from last year’s record 466,000.

Essentially, with this move Volvo is planning to penetrate the markets with competitors such as BMW’s M brand, Daimler’s Mercedes AMG and Jaguar Land Rover’s new Special Vehicle Operations division. Volvo Polestar plans to manufacture vehicles which would eventually compete with high-end quality cars such the names listed above. Lastly, despite the take-over, the Polestar racing team will remain under the control of Christian Dahl, the former owner of Polestar, and will be renamed. The Polestar brand will continue to work with the motorsports arm.