Lawrence Stroll becomes major shareholder of Aston Martin

There's no stopping Lawrence Stroll. After acquiring the Force India team in mid-2018 to rename it Racing Point, the fashion mogul and father of the driver Lance stroll, has just become a major shareholder ofAston Martin Lagonda, in great financial difficulty since its listing on the London Stock Exchange in 2018. The Canadian billionaire acquired 16,7% of the British brand via an investment of 182 million pounds (217 million euros). 

It was through a new consortium, Yew Tree Overseas Limited, that Stroll acquired 45,6 million shares at 4 pounds sterling each (4,8 euros). At his side, we find names already seen in the Racing Point consortium such as his long-time Hong Kong partner Silas Chou and the Canadian businessman André Desmarais. 

As a first step, Yew Tree Overseas Limited promises to inject £55 million (€64,5 million) into Aston Martin to improve the company's liquidity. In addition to the 182 million pounds announced, the consortium is also committed to subscribing to new shares with a view to raising funds of 318 million pounds sterling (378 million euros). 

In addition to saving Aston Martin, this financial transaction has direct consequences at the level of activities Formula 1 by Stroll. Indeed, the Racing Point team which he owns will be renamed Aston Martin F1 Team from 2021 for an initial 10 years. A sponsorship agreement has also been signed for a renewable period of 5 years. In the meantime, Aston Martin will continue to be a partner of Red Bull in 2020. 

we thank you @Aston Martin for their support over the past four years in which time we have achieved 12 wins, 50 podiums and six pole positions together. Our focus remains on working together throughout the 2020 season and ending our partnership on a high.  pic.twitter.com/lIW1ul8jWe

- Aston Martin Red Bull Racing (@redbullracing) January 31, 2020

The statement shared by the London Stock Exchange also claims that the technology partnership between Aston Martin and Red Bull Advanced Technologies will continue until the Aston Martin Valkyrie has been delivered. The first copies should be ready at the end of the year. 

« I am delighted that with my consortium partners, we have been able to find common ground with the board of directors and the majority shareholders of Aston Martin to make this long-term investment, commented Stroll. Aston Martin Lagonda produces some of the most beautiful cars in the world, under the hands of very talented employees. Our investment underlines the financial security of the company and provides guarantees for the future. 

Once we raise £500 million (595 million euros) completed, I look forward to working with Aston Martin management to review and improve every aspect of the business, investing in the development of new models and technologies, while rebalancing production to favor demand through relation to the offer. 

My partners and I are convinced that Aston Martin is one of the finest luxury car brands in the world and that we will be able to realize its full potential. ». 

Dr Andy Palmer, CEO of Aston Martin, naturally welcomed this fundraising after a very complicated 2019 and believes that it offers a “ sustainable platform » for the development of the brand. 

Now that Stroll has established Racing Point as a future Aston Martin team, it will be interesting to see how the situation around the factory team develops Mercedes since the Montreal businessman was announced as a potential buyer of Brackley by the publication Coach And the site Racefans.net earlier this week.