Polestar Automotive ($PSNY) Investor Settlement

The parties have reached an agreement to settle the case, but the terms are still being finalized. You can submit your application now, and it will be processed once claims filing opens.

D. New Jersey

Court

2:25-cv-00840

Case number

06/24/2022

Class period Start

01/16/2025

Class period End

Polestar Automotive has reached a tentative settlement to resolve investor claims that it understated financial liabilities and concealed internal control weaknesses.

Outline:

Polestar consistently assured investors that its financial reporting was accurate and that it had effective internal controls in place. Investors say the company had in fact underreported accrued liabilities and assets and had weaknesses in its internal controls. On January 16, 2025, Polestar disclosed it would restate its 2022 and 2023 financials due to accounting errors, and $PSNY fell 11%. The case has now moved to a tentative settlement.

Timeline:
June 23, 2022: Polestar completed its SPAC merger and began trading as $PSNY.
June 29, 2022: Polestar disclosed material weaknesses in its internal controls.
August 14, 2024: Polestar admitted misstatements in its 2021–2022 financials.
January 16, 2025: Polestar announced a restatement over underreported tooling assets/liabilities and cut guidance; $PSNY fell 11%.
Background:

Polestar Automotive, an electric vehicle maker trading under $PSNY, repeatedly told investors that its financial reporting was accurate and that it maintained effective internal controls, emphasizing a strong financial position and compliance with accounting standards.

Investors say that wasn't the case. According to the dispute, Polestar had underreported accrued liabilities and assets in its financial statements and had weaknesses in its internal controls that contradicted its public assurances.

On January 16, 2025, Polestar disclosed the accounting errors and said it would restate its 2022 and 2023 financials, as well as multiple quarterly reports — an admission that its financials had been misstated for years.

Following the disclosure, $PSNY dropped 11%, reflecting investor concern over the company's transparency and financial stability. The case has now moved to a tentative settlement.

What Can Investors Expect Now?

Polestar Automotive has reached a tentative settlement to resolve investor claims that it understated financial liabilities and concealed internal control weaknesses.

If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section.

Case Type

US Securities Class Action

Case Status

Tentative Settlement

Alleged Offence

Misleading Statements,

Financial Misrepresentation,

Failure to Disclose

Suspected Party

Directors,

Management

Security Type

Stocks

Trade Direction

Long

Filing date

01/30/2025

Lead Plaintiff Deadline

04/01/2025

Plaintiffs

John Britton

Attorneys

The Rosen Law Firm, P.A.

Defendants

Thomas Ingenlath; Johan Malmqvist; Per Ansgar

Trades matching type

FIFO

Polestar Automotive ($PSNY) Investor Settlement

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