Hertz says it will purchase 65,000 electric vehicles from Polestar

Hertz Global Holdings, Inc.

Polestar, a sub-brand of Volvo and its Chinese parent company, will be the supplier of up to 65,000 electric vehicles for the rental car company. The announcement follows a similar move by the company to purchase 100,000 vehicles from the electric car company.

Over a period of five years, new vehicles will be acquired. The Polestar vehicles will be available in Europe in the spring of 2022. The EV maker's Polestar 2 sedan starts at $49,000, making the deal worth around $3.18 billion if the company pays full price for the vehicles.

Last year, the company had around 500,000 vehicles in its global fleet. The rental car company almost went out of business last year due to unsustainable debt. The company, which has been around for more than a century, was refinanced by investors led by Knighthead Capital Management and Certares Management.

The company plans toelectrify nearly all of its 500,000 cars and vans. The Polestar 2 will be the first model that the company will order.

Polestar, the performance brand of Volvo, has become one of the more interesting EV companies on the market. The company, which is a joint venture between Volvo and Volvo's parent company, is planning to go public. Polestar has positioned itself as a competitor toTesla, with an emphasis on sleek, premium vehicles made from sustainable materials.

The Polestar 1 and Polestar 2 are the only two vehicles that Polestar has released so far. The Polestar 3 SUV, the Polestar 4 compact SUV, and the Polestar 5 sports sedan will be released in the next few years. The Polestar O2 is a sleek concept.

The news that the EV company would get 100,000 cars from Hertz helped send its stock prices soaring, and eventually it reached a valuation of $1 trillion.