Investment Dar chose Investindustrial as the buyer of 37.5% in Aston Martin for the sum of 190 million euro ($246 million).
“Investindustrial’s new investment reflects and sustains the unique position of Aston Martin within the industry,” Aston Martin Chairman David Richards said in the statement. “I am delighted that Investindustrial has decided to become a major investor in Aston Martin.”
Through this deal Aston Martin has cash to invest in automotive resources to be able to compete with rival VW’s Bentley and Fiat’s Ferrari. The luxury sports cars automaker plans to invest almost $300 million on new technologies and models in the following five years.
In February 2011 Investment Dar agreed to reorganize $4.9 billion of its own debt after missing payment on an Islamic bond in May 2009. As Aston Martin is the only independent global luxury-car brand, it might find difficulties in developing technologies to improve fuel efficiency. BMW plans to invest more than 1 billion euro by the end of this year to manufacture more efficient engines and to develop EVs, a sum which surpasses Aston Martin’s 2011 revenue of 507 million pounds ($300 million).
“The problem at Aston Martin is that they have no major company behind them,” Hanover-based Norddeutsche Landesbank analyst Frank Schwope said by telephone. “For Bentley at Volkswagen, which also sells a few thousand cars, and Rolls Royce at BMW, they can reach back to the parent for technology.”