Mercedes-Benz has been a long time shareholder at Aston Martin, owning a 2.6% stake in the British automaker. In fact, Aston Martin already uses both AMG's 4.0-liter V-8 engine and Daimler’s electrical architecture. More recently, former AMG boss Tobias Moers was even installed as Aston Martin’s new CEO.
However, it seems the two automakers are now taking things to the next level. The German marque has announced that it will be raising its stake in Aston Martin from 2.6% to 20%. This would make them the largest shareholder next to Aston Martin’s executive chairman Lawrence Stroll, who bailed out the company in January. In exchange for the larger stake, Aston Martin will be given access to advanced Mercedes technology including next-generation hybrid and electric powertrains.
The new shares will not be issued to Mercedes instantaneously. Instead, it will be done gradually over the next three years. The German marque further adds that they will not increase its holding in Aston Martin beyond the agreed 20%.
“We already have a successful technology partnership in place with Aston Martin that has benefited both companies. With this newly expanded partnership we will be able to provide Aston Martin with access to new cutting-edge technologies and components, including next-generation hybrid and electric drive systems,” said Wolf-Dieter Kurz, Head of Product Strategy at Mercedes-Benz.
Aston Martin has been struggling since it went public a few years ago. By expanding the tie-up with Mercedes even further and gaining access to EV and hybrid tech, the company can save funds rather than developing their own line of hybrid and electric powertrains. Better yet, we might see more Mercedes-powered Astons in the future. It also ensures that Aston Martin will be here to stay in the near future.
“Today’s expansion of our partnership with Mercedes-Benz AG is a critical step towards achieving our goals for Aston Martin. The capabilities of Mercedes-Benz AG technology will be fundamental to ensure our future products remain competitive and will allow us to invest efficiently in the areas that truly differentiate our products,” said Moers.