Volvo announced that it has acquired 100 percent of Polestar, a high performance company that works exclusively with Volvo cars.
Under the agreement, finalized with an undisclosed purchase price, Volvo will absorb all of Polestar’s employees and holdings (with the exception of the racing division). In turn, Volvo plans to tap into Polestar’s tuning expertise to develop a sporty performance fleet, complete with exclusive Polestar badging – similar to the AMG line of Mercedes.
“Polestar will also in future utilize Volvo’s twin engine electrification technology to develop next generation performance cars,” Volvo said.
If these plans source the same powertrain from Volvo’s 2016 V60 Twin Engine plug-in hatchback, consumers can expect to see a five-cylinder turbocharged diesel mated to a 50 kW electric motor. Current output for the D5 version is 163 horsepower (220 horsepower for the D6), but this will most likely be boosted after Polestar gets their hands on it.
The two companies have been working together since 1996 when they paired up in motorsports. One of their more recent collaborations include the Polestar-branded S60 sedan and V60 hatchback: two rare and pricey sport editions. Only 40 Volvo S60 Polestars will be sold in the U.S. this year at a price of about $60,000.
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Unlike the V60 Twin Engine plug-in, the S60 Polestar and V60 Polestar are powered with a gasoline-only inline 6-cylinder engine. To put Polestar’s tuning into perspective, these turbocharged engines will crank 350 horsepower, in comparison to the 190 horsepower from the standard S60.
Though the new venture will certainly add power to the platform, as few as 250 extra sales will be included.
“In 2015, Volvo expects to sell 750 Polestar versions of the V60 wagon and S60 sedan globally,” stated the carmaker. “Polestar sales are forecast to increase to between 1,000 and 1,500 cars a year in the medium term under Volvo’s ownership.”