Luxury carmaker Aston Martin (AML.L) announced on Monday that it will raise more than £125 million ($161.9 million) through additional funding from Chairman Lawrence Stroll’s investment vehicle and the sale of a minority stake in the Formula One team he owns.
The move comes as Aston Martin faces mounting losses and debt, following a workforce reduction of 5% in February, just three months after its latest capital raise—the sixth since Stroll took over in 2020. Since acquiring a controlling stake in the company, Stroll has invested approximately £600 million in the automaker.
Stroll’s Yew Tree Consortium will contribute an additional £52.5 million by purchasing 75 million shares at 70 pence per share. This will increase Yew Tree’s stake in Aston Martin from 27.7% to approximately 33%, with the potential to rise further to 35%, as the company indicated Yew Tree had expressed interest in additional investment.
Other major stakeholders in Aston Martin include Chinese automotive giant Geely and Saudi Arabia’s sovereign wealth fund.
The carmaker also announced that selling its minority stake in the Aston Martin Aramco Formula One team would allow it to secure a premium above the current book value of approximately £74 million. The company, famous for supplying James Bond’s iconic vehicles, also adjusted its annual car volume forecast, now expecting only “modest growth” rather than the previously anticipated mid-single-digit percentage increase.
As Aston Martin continues to navigate financial hurdles, this latest round of funding could provide a much-needed boost to its stability and future ambitions.
