Aston Martin Seeking Funding From Lawrence Stroll, Chinese Automaker Geely

Andrew Cummings
January 14, 2020

The talks come nearly a month after Aston Martin confirmed it was in early-stage talks with potential investors as it launched a review of its funding.

China's Geely Automobile Holding 0175.HK is in talks with Aston Martin management and investors about taking a stake in the luxury carmaker, according to a source close to the discussions and a report by the Financial Times, sparking a sharp jump in the British company's share price. A technology partnership is also a potential outcome of talks, the British newspaper said. Geely also owns Volvo.

Geely's chairman Li Shufu, owns a 9.69% stake in Mercedes-Benz parent Daimler.

Aston is trying to raise more money in the wake of an 80% drop in its share price since becoming a public company in 2018 and lower-than-expected profit levels.

"Bloomberg" are reporting that Stroll - who has amassed a fortune in excess of £2billion - is in 'advanced discussions with Aston Martin. Should any such deal be completed, it is thought that Stroll would rebrand his Racing Point Formula One team as a factory Aston Martin outfit. Geely and Daimler run the Smart city auto brand as a joint venture out of China.

Before joining Red Bull as a title sponsor, Aston martin had been considering entering the championship as a manufacturer. The SUV, which has already generated 1,800 orders, will go into production in the second quarter of this year.

Aston declined to comment beyond the statement issued earlier this week. Apparently "preliminary discussions" have taken place, though Geely has thus far refused to comment.

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