Mahindra loses race for Aston Martin
07 Dec 2012
Italian private equity firm Investindustrial has pipped India's Mahindra & Mahindra (M&M) to the post in a close race for British sports car maker Aston Martin, a brand associated with James Bond.
Investindustrial, which used to own Ducati, has acquired a 37.5 per cent stake in Aston Martin thanks to a £150 million investment.
Production of Aston Martin cars would continue at the company's headquarters at Gaydon, Warwickshire, which has a workforce of 1,600 people.
According to Investindustrial, which sold Ducati to Audi in April this year, its mission was to actively contribute to the development of the companies in which it invested, by creating growth opportunities and offering global solutions through an active ownership and entrepreneurial vision.
Its investment in Aston Martin, which made it a shareholder alongside the company's owner, The Investment Dar, coincided with the Gaydon-based carmaker's preparations to celebrate its centenary next year.
Though Mahindra & Mahindra had been in talks to inject cash into the iconic sports car brand from Aston's owner, Kuwaiti investment house Investment Dar, the structure of the company ensured that Investment Dar (TID), the Kuwaiti company that owned half of Aston Martin, would continue to hold on to 24 per cent.
