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Mon 5 Mar 2018 04:59 PM

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Kuwait-backed Aston Martin named world's fastest growing car brand

Aston Martin is targeting a valuation of as much as $6.8bn in a potential IPO of the British sports car maker

Kuwait-backed Aston Martin named world's fastest growing car brand

James Bond would be pleased. After years in the red, Aston Martin's brand is finally living up to its heritage with roaring profits helping the automaker's brand rise 268 percent in value to o $3.6 billion in this year's Brand Finance report.

Aston Martin saw the highest percentage growth in its history in 2017, with profits growing by a quarter of a billion pounds as unit sales exceeded 5,000 for the first time since 2008, ahead of its potential initial public offering in Q3 or Q4 this year. 

It was reported last month that the Kuwait-backed firm is targeting a valuation of as much as $6.8 billion in a potential IPO of the British sports car maker. 

The yearly figures were driven by demand for the first new model launched under the company’s transformational Second Century Plan, the Aston Martin DB11 and also special models including the Vanquish Zagato Coupe and the limited-production DB4 GT Continuation model.

The DB11 has been instrumental in the automaker's success. A huge portion of sales for the car come from the Middle East, especially the UAE, the company's CEO Andy Palmer said in an earlier interview.

"Following on from our tremendous financial results, this endorsement of the Aston Martin brand is further proof of our successful global brand strategy. Our Second Century Plan is gaining momentum: the DB11 has achieved sell-out demand, the new Vantage has just been revealed to critical acclaim and the next model under the plan, the replacement to the Vanquish, is on schedule to be revealed later this year," said Palmer.

The 2018 Brand Finance Auto & Tyres Report, launched yesterday, shows that the luxury car manufacturer’s brand value leaping from #77 in the overall ranking to #24.

Hired from Nissan in 2014, Palmer's turnaround plan has led to the company's first profit in eight years.

As a low-volume luxury carmaker, Aston Martin is now looking to use proceeds from a potential listing as well as a tie-up with a bigger carmaker to help propel its business as a future of autonomous driving vehicles awaits, Palmer told Bloomberg in January.

“We are making a new kind of a company, a company that can survive on 7,000 to 14,000 very highly priced, very profitable cars a year, but it can survive because of its partnerships. It can be very profitable on that 7,000 to 14,000 cars a year but only by having a big brother that can help it out,” he said during the interview.

Aston Martin is backed by a consortium of investors from Kuwait who hold 60 percent of its shares. Mercedes Benz also has a five percent stake in the company.

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