AML - Stock Market Listing
Discussion
phumy said:
To us laymen, what does that mean/signify?
I may be wrong, as my background is not in equities, but I think the Stock Exchange rules state that significant trades in terms of volume or percentage holding of a company have to be reported in the public domain. So it’s just a notification that said investor has reduced their holding, in this case to zero. This should be good news going forward, as I think it should give the current consortium more control, without potential interference from the older investors. Happy to be corrected on any of this though. If Rob was still posting on here, he would know! Best Regards
Minglar
Exactly right Richard.
On the form, the row titled 'Resulting situation ...', does not contain any figures, so therefore no shares held.
Years ago, the disclosure requirement applied when holdings exceeded 3%, but I think it is lower now, might be 1%.
Wonder how different events might have been without the arrival of the P/E investor? Dr. Bez was at the helm when that sequence of events began.
Private equity firms have a perfectly legal business model, but sometimes it does not work in favour of the companies they invest in. Borrowing / gearing is often one of their ingredients. I think Debenhams might be an extreme example. That seemed to change hands several times and possibly even had more than one IPO. During the next few days, it could be the end for them though.
SSO said:
That they no longer believe there is upside to the investment.
Having very succesfully achieved an unrealistically high IPO value (not hindsight, look back to posts at the time), then sold a significant portion of their holdings to buyers in the IPO, they must have known the likelyhood of what followed.
A very good return on their total original investment had already been achieved.
I think there were conditions restricting immediate disposal of the remaining shares, so presumably just had to accept lower prices for disposal of the residual holdings.
Jon39 said:
Having very succesfully achieved an unrealistically high IPO value (not hindsight, look back to posts at the time), then sold a significant portion of their holdings to buyers in the IPO, they must have known the likelyhood of what followed.
A very good return on their total original investment had already been achieved.
I think there were conditions restricting immediate disposal of the remaining shares, so presumably just had to accept lower prices for disposal of the residual holdings.
FT have just run a story saying MB have agreed to spend up to £286m increasing their stake up to 20% over the next 3 years. The deal is in return for sharing electric car technology with AML. Apparently they had been diluted down to 2.6% by the recent share issues. Looks like Stroll and the new boss have a plan.
Westlondondriver said:
FT have just run a story saying MB have agreed to spend up to £286m increasing their stake up to 20% over the next 3 years. The deal is in return for sharing electric car technology with AML. Apparently they had been diluted down to 2.6% by the recent share issues. Looks like Stroll and the new boss have a plan.
Are MB actually paying £286m to AML?
It might be like the original deal, whereby I think shares were issued to MB as recognition of the technical agreement.
The share placing (not a rights issue, so will dilute existing shareholders); bond issue; and arrival of new investors, will enable repayment of the existing bonds (debt) due in 2022.
Todays announcement was released after the London Stock Market close, so the proposed increase in the number of ordinary shares, will probably move the share price down at the market opening tomorrow.
The new production target is 10,000 in 2024/25 (remember AP's target).
The 3rd quarter results were released today (brought forward from the proposed November date) alongside the announcement.
DBX sales to dealers in the 3rd quarter = 345.
Today´s press release literally inundates us with a wealth of information:
https://media.astonmartin.com/mercedes-benz-ag-str...
Just a few snippets:
"In addition, we have developed a new business plan targeting revenue of c.£2bn and c.£500m of adjusted EBITDA by 2024/25. This reflects the technology agreement and the delivery of new, compelling vehicles to achieve these growth ambitions.
The plan will be underpinned by the new proposed financing that we are announcing today to strengthen the balance sheet, extend the debt maturity and improve liquidity. As part of this I am delighted to welcome Zelon Holdings, a European family office, and Permian Investment Partners as new shareholders in the Company. I, and my co-investors, are fully committed to delivering this plan, and our participation in this new substantial round of financing demonstrates both our confidence in the prospects for the business and our commitment to the future success of Aston Martin.”
....
"The Company is pleased to announce that it has successfully arranged a new fully committed and comprehensive financing package (the “New Financing”) which comprises £125 million of new ordinary shares, £259 million equivalent of new second lien notes which mature in 2026 with detachable warrants incorporated representing 5.0% of the fully diluted issued share capital of Aston Martin following the proposed Mercedes-Benz AG share issuances, £840 million equivalent of first lien notes, which mature in 2025 and a refinanced revolving credit facility of £87 million maturing in 2025.
Proceeds raised from the new equity and notes will be used to redeem the Group’s outstanding senior secured notes at the applicable call prices, to repay the term loan the Company borrowed pursuant to the U.K. Coronavirus Large Business Interruption Loan Scheme (CLBILS), as well as general corporate purposes, including working capital and capital expenditures and to pay commissions, fees and expenses associated with the financing and other transactions described herein."
...
"The New Financing comprises:
An equity placing comprising of 250,000,000 new ordinary shares to be placed with new and existing institutional investors at 50p per ordinary share (the “Placing”). This Announcement should be read in conjunction with the separate announcement by Aston Martin issued today relating to the Placing;
An issue by Aston Martin Capital Holdings Limited, a subsidiary of Aston Martin, of £259 million equivalent in aggregate principal amount of 13.5% second lien split coupon notes due 2026, together with detachable warrants to be issued by Aston Martin with the right to subscribe for a number of its ordinary shares, which will represent 5.00% of the diluted issued share capital of Aston Martin following the proposed Mercedes-Benz AG share issuances;
An issue by Aston Martin Capital Holdings Limited, a subsidiary of Aston Martin, of £840 million equivalent in aggregate principal amount of first lien notes due 2025; and
Commitments of £87 million with respect to the Company’s revolving credit facility and extending the maturity to 2025.
The New Financing and the proposed Mercedes-Benz AG share issuance will also require the publication of an FCA-approved prospectus, expected to be published in mid-November, in connection with the shares issued under the Placing and the Strategic Cooperation Agreement."
https://media.astonmartin.com/mercedes-benz-ag-str...
Just a few snippets:
"In addition, we have developed a new business plan targeting revenue of c.£2bn and c.£500m of adjusted EBITDA by 2024/25. This reflects the technology agreement and the delivery of new, compelling vehicles to achieve these growth ambitions.
The plan will be underpinned by the new proposed financing that we are announcing today to strengthen the balance sheet, extend the debt maturity and improve liquidity. As part of this I am delighted to welcome Zelon Holdings, a European family office, and Permian Investment Partners as new shareholders in the Company. I, and my co-investors, are fully committed to delivering this plan, and our participation in this new substantial round of financing demonstrates both our confidence in the prospects for the business and our commitment to the future success of Aston Martin.”
....
"The Company is pleased to announce that it has successfully arranged a new fully committed and comprehensive financing package (the “New Financing”) which comprises £125 million of new ordinary shares, £259 million equivalent of new second lien notes which mature in 2026 with detachable warrants incorporated representing 5.0% of the fully diluted issued share capital of Aston Martin following the proposed Mercedes-Benz AG share issuances, £840 million equivalent of first lien notes, which mature in 2025 and a refinanced revolving credit facility of £87 million maturing in 2025.
Proceeds raised from the new equity and notes will be used to redeem the Group’s outstanding senior secured notes at the applicable call prices, to repay the term loan the Company borrowed pursuant to the U.K. Coronavirus Large Business Interruption Loan Scheme (CLBILS), as well as general corporate purposes, including working capital and capital expenditures and to pay commissions, fees and expenses associated with the financing and other transactions described herein."
...
"The New Financing comprises:
An equity placing comprising of 250,000,000 new ordinary shares to be placed with new and existing institutional investors at 50p per ordinary share (the “Placing”). This Announcement should be read in conjunction with the separate announcement by Aston Martin issued today relating to the Placing;
An issue by Aston Martin Capital Holdings Limited, a subsidiary of Aston Martin, of £259 million equivalent in aggregate principal amount of 13.5% second lien split coupon notes due 2026, together with detachable warrants to be issued by Aston Martin with the right to subscribe for a number of its ordinary shares, which will represent 5.00% of the diluted issued share capital of Aston Martin following the proposed Mercedes-Benz AG share issuances;
An issue by Aston Martin Capital Holdings Limited, a subsidiary of Aston Martin, of £840 million equivalent in aggregate principal amount of first lien notes due 2025; and
Commitments of £87 million with respect to the Company’s revolving credit facility and extending the maturity to 2025.
The New Financing and the proposed Mercedes-Benz AG share issuance will also require the publication of an FCA-approved prospectus, expected to be published in mid-November, in connection with the shares issued under the Placing and the Strategic Cooperation Agreement."
Mercedes-Benz AG will obviously (and understandably) spend no cash on AMLGH plc: They will subscribe to the newly issued “Consideration shares” as part of a capital increase by way of contribution in kind, i.e. providing access to powertrain architecture (for conventional, hybrid, and electric vehicles) and future oriented electric/electronic architecture. Mercedes-Benz AG will “supply both hardware and software components to Aston Martin under commercial agreements to be agreed between Aston Martin and Mercedes-Benz AG.”
So the benefit for Daimler will (hopefully) be selling their technology to AML and (hopefully) participating in the long term recovery of AML and their shares.
https://www.daimler.com/investoren/berichte-news/f...
So the benefit for Daimler will (hopefully) be selling their technology to AML and (hopefully) participating in the long term recovery of AML and their shares.
https://www.daimler.com/investoren/berichte-news/f...
It's also interesting that EMEA exc UK was flat for the sales YoY Q3 that was a good performance with all macro challenges. Shame the same can't be said for Americas - WOW maybe now we can see why the price adjustment was made !!
Also the DBx volume is a mile off the AP stated goal of 4k units per annum - let's hope that is reflecting production ramp challenges and not demand problems...
Also the DBx volume is a mile off the AP stated goal of 4k units per annum - let's hope that is reflecting production ramp challenges and not demand problems...
Edited by oilit on Tuesday 27th October 21:10
Jon39 said:
I am by no means an obsessive environmentalist, but if it is necessary for us to minimise pollutants, why have so many motorists in the UK recently changed their personal transport from small and medium size cars, to big, heavy SUVs?
.....Someone said that the recent rise in UK pollution, has been almost entirely due to the increase in the number of SUVs.
Thankyou4calling said:
There’s no chance of Aston selling 4000 DBXs a year.
Half that maybe.
The cars arrived late at the party and most of the guests have gone hone.
So why are Ferrari bothering, they're even later. It is a massive market that continues to grow.Half that maybe.
The cars arrived late at the party and most of the guests have gone hone.
Edited by ridds on Wednesday 28th October 00:29
Having defended the likelihood of a Mercedes buy-in to AML for a while, and despite the many opposing comments on this forum (some more eloquently put than others), I'm enjoying this moment.
It always made sense for both M-B and AML and the deepening ties in engine, F1 and, latterly, hiring choices made it more and more likely.
Looking forward to the opinions of those that were so vocal about this topic before.
It always made sense for both M-B and AML and the deepening ties in engine, F1 and, latterly, hiring choices made it more and more likely.
Looking forward to the opinions of those that were so vocal about this topic before.
Jon39 said:
Obviously the complete halt due to COVID-19, has made the H1 sales numbers fairly meaningless, but for anyone interested in more information about models, a new split has been introduced.
GT = DB11 and DBSS.
Sports = Vantage.
( click/tap and then click/tap again to see the chart full size )
Edited by Jon39 on Wednesday 29th July 09:41
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