- Public Investment Fund of Saudi Arabia is in discussions to acquire a stake in Aston Martin.
- The PIF already owns stakes in Lucid Motors and McLaren.
- Aston’s owner, Lawrence Stroll, has said that the company does not require further investment.
According to four sources, the Public Investment Fund of Saudi Arabia is in negotiations with Aston Martin about acquiring a stake in the company as the luxury automaker tries to secure additional funds for its next lineup of vehicles.
People say that the PIF, which already has stakes in Lucid Motors and McLaren, is in discussions to invest an additional ÂŁ200 million in the company. They stated that discussions are at an early level.
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Aston faces the issue of funding both its next generation of sports cars and its drive towards electric vehicles, despite the fact that the company is loaded with debt and generating little net cash.
The company does not expect to begin generating income until 2023, and one of Aston’s first goals is to begin paying down some of its high-interest debt.
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Lower car sales as a result of the company’s reliance on selling wholesale models to dealerships and a slower-than-expected launch of its Valkyrie hypercar have prompted Aston to seek alternative funding sources for its next generation of vehicles.
In February, the company’s chair and owner, Lawrence Stroll, announced publicly that the company did not require further investment.
“Let me be crystal clear, black and white: we do not need money,” he said at the time.
