A consortium led by billionaire Lawrence Stroll has bought a 16.7% stake in Aston Martin for £182 million - sparking a major revamp of the firm's future product plan.
The deal, confirmed this morning through a filing with the London Stock Exchange and exclusively revealed by Autocar last year, also includes a £318 million cash infusion through a new rights issue, giving the British car maker a £500 million boost.
Stroll also owns the Racing Point F1 team, which under the terms of the new deal will be rebranded as the Aston Martin F1 works team from 2021 onwards. Aston has pledged to launch its Valkyrie hypercar this year, committed to a revised mid-engined car strategy and revealed it will delay the launch of its electric vehicles, including the relaunch of the premium Lagonda brand, until after 2025.
Aston Martin deal at a glance
- Lawrence Stroll leads investment consortium, becomes Aston Martin chairman
- CEO Andy Palmer stays on
- Job and cost cutbacks to follow
- Aston business plan revised
- Valkyrie will be launched this year
- Mid-engined Valhalla will follow
- Mid-engined strategy to continue, launching 2022
- Lagonda launched delayed until at least 2025
- Electric RapidE project suspended
- Stroll's Racing Point F1 team to be rebranded Aston Martin from 2021
What Stroll's investment means for Aston Martin
Stroll beat Chinese car maker Geely, the owner of Lotus and Volvo, a part-owner of Smart and a significant shareholder in Daimler, to the deal after a decision to take Stroll's investment was agreed at a board meeting last night.
To secure the 16.7% stake, the consortium led by Stroll, Yew Tree Overseas Limited, will buy 45.6 million new ordinary shares in Aston Martin Lagonda, at a price of £4 per share. The consortium also includes JCB chairman Anthony Bamford, former Power Corp Canada boss Andre Desmarais and Hong Kong fashion investor Silas Chou.