Some new faces join, but much remains the same at Aston Martin.
The buyer: A consortium that includes David Richards, John Sinders, Kuwaiti companies Investment Dar and Adeem Investment
The price: £479 million (about €700 million)
Vested interest: Ford retains a £40 million stake, held as preferred shares believed to be non-voting
The chairman: David Richards, founder of Prodrive
The CEO: Unchanged (Ulrich Bez will remain for 5 more years)
The team: Unconfirmed, but few changes expected
Facilities: Unchanged
Technology: Continued supply agreement with Ford
LONDON -- Aston Martin promises that new ownership will not affect its ability to develop and manufacture new models and purchase components and systems at competitive prices.
“We will still receive our engines from the Aston Martin facility in Ford’s Cologne plant,” said company spokesman Kevin Waters. “And we still get access to certain technologies at Ford.”
Without being more specific, Waters said that those technologies are related to engine development.
Purchasing power
Aston Martin should continue to benefit from Ford’s global purchasing power, an executive linked with one of the unsuccessful bidders for Aston Martin told Automotive News Europe.
The executive saw confidential documents relating to the sale that included an agreement to continue preferential Ford purchasing terms.
Said Eric Wallbank, an auto analyst at Ernst & Young’s London office: “Whatever sourcing leverage there was is likely to be retained.”
Under Ford, Aston Martin conducted its own purchasing but enjoyed the backing of a large organization.
Many of Aston Martin’s components were likely to be unique and therefore still expensive, even under Ford, noted Wallbank.
“But suppliers like to provide parts to premium automakers as it showcases their technology,” he said. “So Aston Martin should not face any problems.”
On March 12, Aston Martin owner Ford announced it had agreed to sell the carmaker to a consortium of investors led by David Richards, founder of UK-based road and race car engineering company Prodrive.
Aston Martin is valued at £479 million (about €700 million).
The carmaker had been part of Ford’s Premier Automotive Group since 1999. Ford has controlled Aston Martin since 1987, but it was only in the mid-1990s that the sports car maker began to integrate its purchasing and vehicle development processes more closely with Ford’s.
The US automaker will retain a £40 million stake in Aston Martin.
Ernst & Young’s Wallbank is optimistic about Aston Martin’s prospects, but worries about the carmaker’s ability to refresh its lineup.
The costliest changes are likely to be those driven by safety and emissions legislation, he said.
Aston Martin’s Waters said that the British luxury brand’s dedicated engineering team and design studio at its Gaydon, England, headquarters would be capable of developing new vehicles as a stand-alone organization.
And Aston Martin will continue to have access to the shared Ford Motor-owned test track in Gaydon. It will also be able to use former sister brand Volvo’s crash-test facilities in Sweden, Waters said.
You may e-mail Tony Lewin at [email protected]
