The former owner of motorcycle company Ducati has bought a stake in Aston Martin Lagonda.
Italian private equity fund Investindustrial has signed a deal to invest £150m for a 37.5 per cent stake in the British sports car company. The deal cements Aston Martin's existing £100m a year product development programme for the next five years.
Mahindra and Mahindra was previously thought to be the front runner in the deal, offering a significantly greater cash injection. Although Investindustrial has relationships with AMG, a tie-in with Mercedes’ performance arm is not part of the deal. Investindustrial has significant contacts within the industry, according to a spokesman, who referred to Aston Martin's partnerships with other OEMs, including Ford and Toyota.
Investindustrial owned Ducati until earlier this year when it sold the company to Audi for $1.1bn.
Under the new deal, Investindustrial will become a shareholder alongside current majority shareholder Investment Dar and minority shareholders, Dr Ulrich Bez and David Richards. Investindustrial will be a minority shareholder, with four of the nine board seats.