Aston Martin has announced a £653 million share capital increase to fund future investment, with the British firm announcing that it has decided to use the Mercedes electric platform for its first electric model to be launched in 2025.
Aston Martin is not at the happiest point in its history. Founded in 1913, the British manufacturer has saved itself from seven bankruptcies. The luxury british carmaker has had £957 million in debt in March 2022 resulting in an annual interest rate of £130 million according to Autocar british car magazine.
That’s why majority shareholder Lawrence Stroll through You Tree management group decided to seek new investors. Stroll has reached an agreement with the Saudi Public Investment Fund (PIF) which has bought 16.7% of the shares for £78 million and will have two non-executive directors on the board.
In addition, You Tree, Mercedes-Benz and the Saudi consortium will invest £335 million in the company and a further £318 million in the issue of new public shares. On this occasion, Aston Martin has announced that it has decided to use Mercedes’ new EVA dedicated electric platform for its first electric model planned for launch in 2025. Aston Martin’s intention is to use this platform for more electric models and wants all its mainstream models to go electric by 2030.
The EVA platform is used by Mercedes for the new EQS and EQE limousines as well as the new EQE SUV and EQS SUV and the AMG EQE/AMG EQS sporty models.
Aston Martin’s future plans include the new generation of front-engined sports cars, the expansion of the DBX range, the development of the new range of mid-engined models including the Valhalla and an electric platform for future sports models, GTs and SUVs.
Aston Martin has high hopes for its upcoming mid-engined range which is expected to have high profit margins. Earlier this year, Lawrence Stroll fired former AMG CEO Tobias Moers and hired Amedeo Felisa, the former Ferrari CEO.
Felisa is Aston Martin’s third CEO since Stroll took over the British firm in 2020.
