Car maker in cash call

Aston Martin unveils £500m rescue plan and board changes

Aston Martin DB11

Driving a deal: ‘2019 has put the company in a stressed position’

Aston Martin Lagonda has confirmed plans to raise £500 million to bridge a cash crisis.

The company will raise £182m through a private placement of 45.6m shares priced at 400p per share.

It will ask shareholders for an additional £318m through a rights issue to be launched after its final results.

The net proceeds from the placing and rights issue will be used to improve liquidity and finance the ramp up in production of DBX and the turnaround of the company’s performance.

Aston Martin Lagonda recently issued a profits warning following a “very disappointing” 2019.

The Midlands-based company, famous for its association with fictional spy James Bond, has struggled since it floated on the London Stock Exchange in October 2018.

Its shares were priced at £19 at the time of the initial public offering and are currently trading around 400p.

A consortium led by Canadian billionaire Lawrence Stroll will acquire a 20% stake in the car-maker.

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