Lawrence Stroll’s investment in Aston Martin will ensure the luxury automaker operates from “a position of financial strength” in the future insists the Canadian billionaire.
Aston Martin announced on Friday that a consortium of investors led by Stroll will acquire a stake of up to 20 percent in the troubled automaker whose dire financial situation has forced it to seek outside investment.
Stroll’s partners include JCB Chairman Anthony Bamford, entrepreneur Andre Desmarais, banker Michael de Picciotto, telecoms investor John McCaw and Hong Kong fashion sector investor Silas Chou, all of whom were part of the consortium that took over Force India during the summer of 2018.
The Stroll group’s undertaking will also include an equity stake in Racing Point F1 which will become from 2021 the works Aston Martin team.
“I am very pleased that I, and my partners in the consortium, have reached agreement with the board and major shareholders to make this significant long-term investment,” Stroll said on Friday.
“Aston Martin Lagonda makes some of the world’s most iconic luxury cars, designed and built by very talented people.
“Our investment announced today underpins the company’s financial security and ensures it will be operating from a position of financial strength.”
Disappointing results since Aston Martin’s IPO in October 2018 has led to dwindling profits for the iconic brand which in turn put the company under severe financial stress.
The fresh injection of capital will provide Aston Martin with a crucial lifeline from which it can attempt to turn around its fortunes.
“On completion of the £500m of fundraising I look forward to working with the board and management team in Aston Martin Lagonda to review and improve each aspect of the company’s operations and marketing; to continue to invest in the development of new models and technologies and to start to rebalance production to prioritise demand over supply,” added Stroll.
“I, and my partners, firmly believe that Aston Martin is one of the great global luxury car brands.
“I believe that this combination of capital and my experience of both the motor industry and building highly successful global brands will mean that, over time, we fulfil Aston Martin Lagonda’s potential.”