Latest News

Deal worth $925 million;
Al DAR investment Kuwaiti company and ADEEM investment company cash for Aston Martin turnaround

March 2007

Cash-strapped Ford Motor Ford Motor Co has sold a controlling stake in the Aston Martin brand, made famous by its exotic sports cars in James Bond movies, raising $848 million to help fund its turnaround plan. Aston Martin now will be run by a consortium of investors, including racing mogul David Richards, John Sinders and Kuwaiti firms of Investment Dar and Adeem Investment. Ford officials announced the sale Monday at Aston Martin's headquarters in Gaydon, England. The sale is expected to close in the second quarter. Ford will retain a $77 million stake in the company. That values all of Aston Martin at $925 million.

Dearborn-based Ford, which lost $12.7 billion last year and expects losses to continue until 2009, put Aston Martin up for sale last August. Ford Chief Executive Alan Mulally said the sale supports the company's turnaround plan, which involves cutting factory capacity and rolling out new cars and trucks at a faster pace. "From Aston Martin's point of view, the sale will provide access to additional capital, which will allow Aston Martin to continue the growth it has experienced under Ford's stewardship," Mulally said in a statement. Richards is founder and chairman of Prodrive, a racing and automotive technology company with long-standing ties to Aston Martin. Sinders is an Aston Martin collector and racing backer, while Investment Dar and Adeem Investment are international companies based in Kuwait, Ford said.

Details of the transaction broadly confirmed what sources close to the matter had told ReutersCash-strapped Ford Motor Ford Motor Co has sold a controlling stake in the Aston Martin brand, made famous by its exotic sports cars in James Bond movies, raising $848 million to help fund its turnaround plan. Aston Martin now will be run by a consortium of investors, including racing mogul David Richards, John Sinders and Kuwaiti firms of Investment Dar and Adeem Investment.

Richards, whose Prodrive motor-sport and engineering group has a team place for the 2008 Formula One championship, is being partnered in the deal by Kuwait’s Investment Dar and Adeem Investment Co, as well as John Sinders, a banker in finance and shipping from Houston, Texas, and Dubai. Ford said in August it was considering the sale of Aston Martin to free funds to invest in its other brands amid a sharp downturn in sales. The US group posted the biggest loss in its 103-year history in 2006, falling $12.7 billion into the red, as high fuel prices and interest rates drove consumers away from the trucks and sport utility vehicles that had accounted for most of its sales and profits.

Company

Market Watch

Quick Contact

Complaints
Download

powered by anathothonline | copyright © 2011 adeeminv.com | all rights reserved