Skip advert
Advertisement

Aston Martin gains £95m from Geely sale

Geely has increased its shareholding of Aston Martin to 17 per cent

Aston Martin DBX707 - rear lights

Chinese car giant Geely has purchased more shares in Aston Martin, becoming the third-largest owner of the British brand in the process. Lawrence Stroll’s Yew Tree consortium remains the firm's largest shareholder. 

Back in September 2022, Geely secured 7.6 per cent of Aston Martin Lagonda, helping to raise the £654 million the firm needed. The two companies have agreed a sale of more shares, bumping up Geely’s ownership stake to 17 per cent, while Aston Martin receives £95m in cash. Saudi Arabia’s Public Investment Fund retains its second shareholder spot with 18 per cent. 

Both Yew Tree Consortium and Geely have agreed a “standstill” not to sell or acquire any more shares in Aston Martin until August 2024, although Aston Martin states if an offer is received by either company and recommended by the board of directors, that standstill will “fall away”. 

Advertisement - Article continues below

Geely already has control over a few car companies in Europe, either having stakes in or owning Volvo, Polestar, LEVC, Smart and Lotus. Aston Martin previously said that the money raised would be “used to meaningfully de-leverage the balance sheet, strengthen and accelerate long-term growth”.

Executive Chairman of Aston Martin, Lawrence Stroll commented on Geely’s investment: "This announcement is a further significant step towards delivering our ambition for Aston Martin. They [Geely] offer us a deep understanding of the key strategic growth market that China represents, as well as the opportunity to access their range of technologies and components.”

Eric Li, Chairman of Geely, also spoke of his optimism for the future of Aston Martin: "Our decision to increase our shareholding in Aston Martin reflects our confidence in the company's growth prospects, its technologies and its management team.”

It’s not been revealed if Geely will provide Aston Martin with any parts of costs for developing cars. Mercedes already has a partnership in place for the supply of powertrains including internal-combustion engines, hybrids and even pure-electric units until 2027. However, components such as interior technology and safety systems may come from the Chinese brand in the future.

Click here for our first review of the Aston Martin DBX707...

Skip advert
Advertisement
Senior news reporter

A keen petrol-head, Alastair Crooks has a degree in journalism and worked as a car salesman for a variety of manufacturers before joining Auto Express in Spring 2019 as a Content Editor. Now, as our senior news reporter, his daily duties involve tracking down the latest news and writing reviews.

Skip advert
Advertisement

Recommended

Renault and Geely join forces for all new ICE and hybrid powertrain production
Geely Renault partnership
News

Renault and Geely join forces for all new ICE and hybrid powertrain production

Another huge collaboration will see all powertrain development and production between the two companies merge into one new entity
31 May 2024
Best speedsters: the top 9 roofless wonders for intensity and style
Best Speedsters - header image
Best cars & vans

Best speedsters: the top 9 roofless wonders for intensity and style

For some, these cars are the ultimate in no-compromise motoring, but would you splash out a fortune on one?
14 Apr 2024
Best new cars coming in 2024
Best new cars coming in 2024 - header image
Best cars & vans

Best new cars coming in 2024

There are some big new models from the likes of BMW, Citroen, Dacia, Ford, MINI, Skoda and more on the way in 2024
12 Mar 2024
Aston Martin says its Lagonda brand is definitely dead
Lagonda Vision concept
News

Aston Martin says its Lagonda brand is definitely dead

Lagonda has no part in Aston Martin’s plan for electrification, which involves four electric cars being launched from 2026
28 Feb 2024

Most Popular

No more EV! New BMW X3 gets petrol, diesel and PHEV power only
BMW X3 - front
News

No more EV! New BMW X3 gets petrol, diesel and PHEV power only

The all-new premium BMW X3 SUV has a sharp new look and cutting-edge tech, but no iX3 EV this time around
18 Jun 2024
Ford Explorer review
Ford Explorer 2024 - front
In-depth reviews

Ford Explorer review

Ford’s long-awaited electric SUV drives well, has some neat touches and impresses for efficiency
18 Jun 2024
New Audi e-tron GT facelift ups the power to a colossal 912bhp
Audi RS e-tron GT Performance - front
News

New Audi e-tron GT facelift ups the power to a colossal 912bhp

The Audi e-tron GT has been updated for 2024, while new entry-level S and flagship RS Performance models join the line-up
17 Jun 2024