Aston Martin in centre of bidding war
Aston Martin is currently in the centre of a bidding war between the world's largest tractor company and an Italian private equity firm.
Capital is being sought to invest in new models and technology for the firm, which recently slipped to third place in UK's coolest brand list, after six consecutive years as the UK's coolest brand.Having recently re-launched the Vanquish into the model line up, Aston Martin have reportedly been seeking investment from partners for about 12 months to develop new models and technology, but has struggled to secure investments needed to advance and compete with rivals.
Italian equity firm Investindustrial submitted a bid worth up to £250-million for a 50% stake in the company. Their portfolio recently included motorcycle manufacturer Ducati, which they sold for $1.1billion to Audi, and still includes ties with German car giant Mercedes-Benz. This could prove to be a key element for Aston, offering links to technology the brand is currently looking for.
Mahindra and Mahindra, who are also interested in Aston, lost out on Jaguar Land Rover in 2008, when arch-rival Tata brought the firm. They will be keen to obtain the brand as part of a movement to take the Indian company to a global level.
Having considered purchasing Swedish car marker Saab, M & M have already put forward a better cash-offer than Investindustrial and according to sources in India, M & M have been on an acquisition spree. Acquiring Aston Martin could finally give the company the premium brand it is seeking.
Aston Martin refused to comment on these reports at this stage.