Aston Martin owner said to approach suitors for sale
Discussion
-- Aston Martin’s controlling shareholder, Investment Dar Co., has approached potential buyers for the maker of luxury sports cars featured in James Bond movies, said five people with knowledge of the matter.
The Kuwaiti company, which owns 64 percent of Gaydon, U.K.- based Aston Martin, has hired Rothschild to advise on the sale, said one of the people, who asked not to be identified because the talks are private. Mahindra & Mahindra Ltd., the Indian automaker, is among potential suitors Investment Dar has approached in recent few months, two of the people said.
A sale has proven difficult because investors haven’t been willing to match the price the Kuwaiti owner paid five years ago, said two of the people. Investment Dar has sought about $800 million for its stake, one person said.
For Kuwait’s Investment Dar, part of the group that bought Aston Martin for 503 million pounds ($805 million) in 2007, the proceeds would help the company pay off debt.
So is the rumour in the market
The Kuwaiti company, which owns 64 percent of Gaydon, U.K.- based Aston Martin, has hired Rothschild to advise on the sale, said one of the people, who asked not to be identified because the talks are private. Mahindra & Mahindra Ltd., the Indian automaker, is among potential suitors Investment Dar has approached in recent few months, two of the people said.
A sale has proven difficult because investors haven’t been willing to match the price the Kuwaiti owner paid five years ago, said two of the people. Investment Dar has sought about $800 million for its stake, one person said.
For Kuwait’s Investment Dar, part of the group that bought Aston Martin for 503 million pounds ($805 million) in 2007, the proceeds would help the company pay off debt.
So is the rumour in the market
JBE68 said:
Last year AM had revenues of £474mn, operating profits of £35mn, net profits of £7.6mn and net assets of £333mn. Difficult to value the actual brand vs the operating business. I wonder if VW will add them to their stable of super car brands.
Not sure where these figures came from they do have a Holdings Co but Co House shows A M Limited trading revenue £506m and LOSS £35m. They pay £50m+ a year in interest on loans !!JBE68 said:
I wonder if VW will add them to their stable of super car brands.
I really hope not. VW Group is all about platform sharing, and one of the most desirable aspects of the current Astons is that they are genuinely different from any other car. Under VW (and many others) AM would become just another brand sharing the same platform and driveline with any number of their other brands. I'd have zero interest in owning such an "Aston." I hope that whoever buys them treats them with the kind of beneficence that Ford did -- after the DB7, we got the wonderful cars of today that don't share platforms with anything else.
silverspeed said:
JBE68 said:
Last year AM had revenues of £474mn, operating profits of £35mn, net profits of £7.6mn and net assets of £333mn. Difficult to value the actual brand vs the operating business. I wonder if VW will add them to their stable of super car brands.
Not sure where these figures came from they do have a Holdings Co but Co House shows A M Limited trading revenue £506m and LOSS £35m. They pay £50m+ a year in interest on loans !!Problem is the company looks basically worthless save the assets. As Mikey, lets club together and offer £250M and see if we get it. Mikey can I borrow some dough I am short of a few quid this month!!!!
Tony V12V said:
Odd really... not that long ago Porsche were trying to buy VAG
Porsche over extended itself, borrowing vast sums to purchase a controlling interest in Volkswagen. When it all went pear shaped Porsche, now burdened with massive debts, was too weak to fend off a VAG take over.
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