Lawrence Stroll set to build significant stake in Aston Martin

Lawrence Stroll

Lawrence Stroll, the billionaire owner of the Racing Point Formula One motor racing team, is said to be preparing to bid for a significant stake in Aston Martin Lagonda.

Mr Stroll, 60, father of Lance Stroll, 21, the Formula One driver, is heading a consortium to take a “major shareholding”, according to Autocar magazine. The Canadian made his money investing in and building brands including Pierre Cardin, Ralph Lauren and Tommy Hilfiger.

Aston Martin has come under intense scrutiny since floating in 2018. Its shares closed up 91½p, or 18.2 per cent, at 594½p yesterday, valuing the company at £1.4 billion.

Earlier this year Aston Martin issued a profit warning after downgrading its sales forecasts in the face of slowing global demand for its products.

In the first six months of 2019 it reported losses of nearly £80 million. The company is pinning its hopes on the release next year of the £158,000 DBX, Aston Martin’s first 4×4.

Last month the sports car manufacturer, based in Warwickshire, admitted that trading conditions with its rich customers were tough and debts and interest charges were climbing.

Sales this year are expected to be even lower than the 6,300 to 6,500 suggested in a previous downward revision.

In the Asia-Pacific region, which accounts for nearly a quarter of its business and where the burgeoning super-rich were supposed to fire growth, Aston Martin admitted that in summer trading, its third quarter, sales had crashed by 34 per cent.

Aston Martin and Racing Point declined to comment.