Aston Martin is increasing a $617-million capital raising plan by $45-million pounds due to the coronavirus outbreak which will now see a consortium led by Canadian billionaire Lawrence Stroll increase their stake to 25% stake in the carmaker.
“There has been a significant change in the global market environment in which Aston Martin Lagonda operates,” said Stroll.
“What has not changed is our commitment to provide the company with the necessary funding it needs to manage through this period, to reset the business and to deliver on its long-term potential.”
Aston Martin chief executive Andy Palmer added, “We are actively managing the potential impacts of COVID-19 on a daily basis, most particularly in our tier two supply chain, with no disruption to production to date and are mindful of the ongoing uncertainties and risks to the business.”
Financial Times reports that under the new terms, Mr Stroll’s consortium of investors will inject $210-million into the company for a 25 percent stake in the business which is lower than its original planned investment.
An extraordinary general meeting to agree the rights issue, which had been due to happen on Monday, has been rescheduled for March 30 adds the report.