Daimler to increase stake in Aston Martin to 20%
German carmaker will give UK sportscar group access to its electric vehicle technologies
Daimler will increase its stake in the struggling sportscar group Aston Martin to 20 per cent over the next three years, the carmakers have said, in exchange for giving the UK manufacturer access to its electric vehicle technologies.
The two companies have been working together since 2013, when Daimler’s Mercedes-Benz began co-operating with Aston Martin over the development of AMG V8 engines and battery-powered cars in return for a 5 per cent stake.
After Aston Martin’s disappointing initial public offering in 2018, and subsequent capital raises, Daimler’s stake fell to about 2.6 per cent.
The Stuttgart-based group said on Tuesday that it would now spend up to £286m to acquire new shares in Aston Martin, but would not hold more than 20 per cent in total.
“We already have a successful technology partnership in place with Aston Martin that has benefited both companies,” said Wolf-Dieter Kurz, head of product strategy at Mercedes-Benz Cars. “With this new expanded partnership we will be able to provide Aston Martin with access to new cutting-edge technologies and components, including next-generation hybrid and electric drive systems.”
Earlier this year, Aston Martin said it had postponed plans to build its first electric car, the Rapide E, and added it would not electrify its Lagonda sub-brand until the middle of the decade.
The company, which has been haemorrhaging cash, was rescued by Canadian billionaire Lawrence Stroll earlier this year.
Daimler, conversely, is spending billions of euros on electric models, including of its luxury sub-brands AMG and Maybach.