Car manufacturer Aston Martin is to sell its stake in the F1 team that bears its name.

The iconic car manufacturer has been hard hit in recent times by a number of factors, to the extent that staff have been laid off and two successive profit warnings have been issued to investors.

On top of falling demand, supply chain issues have led to delivery delays, while, like many, the company is fearing the damage to be done by the upcoming import tariffs in the US.

The newly announced move will see Aston Martin raise more than £125m through funding and the sale of its stake in the F1 team - currently valued at around £74m - as it continues "benefiting from the growing success and popularity of Formula One".

In the move, Lawrence Stroll's Yew Tree consortium, which has already invested £600m, will invest a further £52.5m in 75 million shares at £0.70p per share, thereby increasing its holding from 27.7% to around 33%.

Yew Tree will seek a waiver from the rule that demands any entity owning more than 30% of a UK-listed company to make an offer to buy out the remaining shareholders.

"We are committed to demonstrating that our strategy delivers long-term growth," said Chief executive Adrian Hallmark. "By strengthening the balance sheet, this investment provides additional headroom to support our future product innovation and business transformation activities, which combined, will accelerate our progress into being a sustainably profitable company."

"I remain highly confident about the company's medium-term prospects having re-positioned the company as one of the most desirable ultra-luxury high performance automotive brands," added Stroll.

"The coming years will be pivotal in realising our vision and ambition. The company has invested significantly in its world-class portfolio of new core models, and Adrian Hallmark's appointment as CEO will further unlock the company's strong potential.

"This proposed investment further underscores my conviction in this extraordinary brand, and commitment to ensuring Aston Martin has the strongest possible platform for creating long-term value while reducing equity dilution via this premium subscription, which should greatly reassure shareholders."

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READERS COMMENTS

1. Posted by Ricardo_sanchez, 31/03/2025 21:09

"@BillH - Aston Martin is signed up as a sponsor until at least 2031, I believe. I’m guessing that includes the team using the AM name for the duration and the car company stumping up £36M (index linked) plus a road car for Stroll junior and Alonso. It’s a big commitment. "

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2. Posted by Ricardo_sanchez, 31/03/2025 21:06

"@Max Noble - I agree. The sums mentioned here seem tiny compared with the challenges AML faces. Unless Newey works his magic soon, I can see questions being raised by some shareholders about the value for money of the £36 million being paid by the car company to Racing Point. As things stand AML is committed to that deal through to 2031 which seems like a big leap of faith. "

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3. Posted by BillH, 31/03/2025 18:39

"Perhaps Honda is looking to buy into the team?
Or, does Aston just be a sponsor of said team?"

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4. Posted by moomoo, 31/03/2025 18:11

"So where's Adrian Newey left? Both Lance and Fred out, Tsunoda in ++?"

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5. Posted by meatball, 31/03/2025 16:45

"The orange-faced menace strikes again. America used to be a great country."

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6. Posted by Chester, 31/03/2025 13:28

"Good move given the tariffs. I was too slow in buying a used Aston Martin Vantage. But the upside is I haven't foolishly indulged myself, yet again."

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7. Posted by Max Noble, 31/03/2025 10:49

"Given Jaguars current woes, and the general global disinterest in coupes, I see dark clouds on the horizon right now.

I hope they pull through…. (James Bond driving a Toyota Prado is a vision I never wish to see again…)
"

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Aston Martin sells stake in F1 team

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