Aston Martin safe from Kuwaiti owner's asset sale

ASTON SAFE: The luxury car company's CEO has said Aston is safe from Kuwaitis owner's asset sale. (Getty Images)

Kuwait’s stake in Aston Martin is not expected to go up for sale as part of Investment Dar's new strategy to reduce its financial obligations, according to the luxury car firm’s chief executive officer.

In an interview with Bloomberg Ulrich Bez said he did not expect the Gulf company, which controls 50 percent of England-based Aston, to include the car firm in its decision to sell off “non-core assets”.
 
His comments came in response to Investment Dar’s announcement on Monday that the sell-off would focus on parts of its banking, real-estate and luxury-goods operations.

“Our shareholders are committed to a long-term investment in Aston Martin. They see us as the icing on the cake in the luxury business,” Bez said.

Investment Dar had helped Aston to invest in new products and had supported its strategy to bring back the Lagonda brand, he added.

However, despite Aston posting the second- highest profit in its 95-year history last year, plans to treble sales to 100 countries with the return of the Lagonda represented a financing challenge, Bez admitted.

“For our growth plans for Lagonda we are looking to the best way to finance this, and there is no one in the world which could by itself finance growth of two or three times in the market,” he said.
 
Investment Dar presented its restructuring plans to foreign and local banks and investors at a meeting in Kuwait on Monday.

Credit Suisse Group is acting as adviser but full details of the strategy will not be disclosed until after a consultation period.

“Our proposed financial restructuring plan presents a considered and fair proposal in light of current market conditions,” senior executive vice president Amr Abou El Seoud said in the statement.

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