Carmarker floats on LSE
Aston Martin shares trade lower on stock market debut
Luxury listing: Aston Martin shares were priced lower than expected
Aston Martin shares were trading at more than 6% lower than their £19 debut price on the London Stock Exchange.
The shares fell to a low of £17.50, before closing at £18.10, trimming its value from £4.33 billion to £4.12bn.
Aston Martin had to cut the top end of its initial public offering price range earlier this week from £22.50 per share to £20 per share.
With 25% of the company floated, the implied valuation is significantly lower than the previously expected £5.1bn.
The offer is open to institutional investors, company staff, customers and members of the Aston Martin Owners Club resident in the UK. Private investors will be eligible to buy shares from Monday.
Chief executive Andy Palmer, who is paid a salary of £1.2m, is entitled to a maximum yearly bonus of £2.4m and share awards worth up to £3.6m under a performance share plan. At £19 a share, his 0.6% stake in the company is worth £26m.
The company, which has gone bust several times since it was launched in 1913, is hoping its stock market listing will allow it to invest in greater production volumes and new products.