You'll soon be able to own a small slice of the iconic British brand.
We've known for some time that Aston Martin intends to seek an initial public offering (IPO), but the question that remained is how much would the British automaker be valued at? According to a new Reuters report, Aston Martin is seeking a valuation of up to $6.7 billion. If all goes to plan, the automaker hopes to announce its final pricing early next month.
Its shares will then be admitted to the London Stock Exchange on or around October 8. The price range will be between 17.50 pounds to 22.50 pounds per share. About 25 percent of the company is up for sale publically, while the rest will continue to be owned by privately.
Ever since CEO Andy Palmer assumed the helm back in 2014, Aston Martin has been working vigorously on its turnaround plan which has so far seen the introduction of stunning new models like the DB11, Vantage, and DBS Superleggera. In the very near future, its Lagonda all-electric sub-division will launch its first of at least three new models. A new Aston Martin factory is also scheduled to open next year in the UK. This is also very impressive despite the upcoming Brexit and whatever may or may not happen in the aftermath.
However, many of Aston Martin's plans were laid out by Palmer and his team prior to that historical vote. Instead of abandoning that bold vision, Palmer is continuing with his grand plans, although some modifications may be required.
Fortunately, Palmer is quoted as saying that investor interest has been "unprecedented" so far. "The tendency of the investors are 'long only' type investors, people who understand that this is a growth story," Palmer stated. "The airplane is halfway down the runway but there's still half the runway to go." With Brexit just around the corner, Palmer also confirmed the automaker has increased its stock of engines and other necessary components as a just in case scenario.
"We are up to five days of engine stock for example and we have got a very large warehouse in Wellesbourne (central England) where we have at least five days of car stock," Palmer confirmed.
But what about the effects of possible EU tariffs? "If there are tariffs… for every car we lose because of a 10 percent tariff into Europe, we presumably pick up from Ferrari and Lamborghini in the other direction because obviously their cars become more expensive in the UK," he said.