Polestar Appoints New CFO

(Reuters) – Electric vehicle maker Polestar (NASDAQ:PSNY) announced on Tuesday the appointment of former Stellantis (NYSE:STLA) finance executive Jean-Francois Mady as its new CFO, shortly after replacing long-time CEO Thomas Ingenlath.

This marks the fourth executive change at the Geely-backed EV maker in recent months as it faces renewed tariffs in the European Union and increasing competition from U.S.-based Tesla (NASDAQ:TSLA) and established automakers.

Last week, Ingenlath, who led Polestar since its inception in 2017, was succeeded by Michael Lohscheller, the former chief of Opel and Vietnamese EV maker VinFast (NASDAQ:VFS).

Mady will take over from Per Ansgar, effective October 21, 2023. Ansgar, who served on an interim basis, will return to his role as CFO at Geely’s Swedish unit.

Mady brings over 20 years of experience in the automotive sector, having served as a senior finance executive at Peugeot (OTC:PUGOY) and Stellantis.

His appointment follows Polestar’s recent announcement of a $300 million loan, adding to a prior $950 million credit secured through a bank syndicate, bringing the EV maker’s funding total to approximately $1.3 billion.

Polestar’s financial needs became critical in February when co-founder Volvo (OTC:VLVLY) announced the cessation of further funding. However, majority shareholder Geely has committed to continue supporting the firm.

The company aims for double-digit gross margins by the year-end after implementing strategies like supplier negotiations to lower manufacturing costs across its product lines.

Ansgar stated last week that Polestar is in discussions with the European Commission regarding tariffs on vehicles produced in China, and is considering measures such as exporting some models from factories located outside China to evade tariffs.