Geely may pump much-needed cash into Aston Martin

  • Geely may pump much-needed cash into Aston Martin

Geely may pump much-needed cash into Aston Martin

Four people familiar with the discussion said Geely is conducting due diligence as it prepares to take a stake in the company, which now is in need of fresh finances.

Geely's chairman Li Shufu, owns a 9.69% stake in Mercedes-Benz parent Daimler.

In an unexpected profits warning this week, Aston said it "remains in discussions with potential strategic investors, which may or may not involve an equity investment into the company".

Following the bitter news from 2019, chief executive officer Andy Palmer has confirmed that Aston Martin will seek debt funding as soon as possible in order to turn things around.

It is unclear whether Geely will pursue an Aston investment if Mr. Stroll makes an investment first.

In what's described as a "final effort" according to Automotive News, Aston is seeking investment from Lawrence Stroll - the Canadian owner of Racing Point Formula 1 team. Additional reports are also suggesting that Contemporary Amprex Technology, a Chinese battery maker, might be interested, though there's been no word from them yet either.

Chinese Geely group has launched negotiations with representatives based in the United Kingdom brand Aston Martin. If not renewed, it opens the door for a motorsport collaboration with Racing Point.

A spokesman for Geely Europe declined to comment. Apparently "preliminary discussions" have taken place, though Geely has thus far refused to comment.

Geely sells an array of cars under its Lotus, PROTON and Volvo brands.