Camila Vega
In Aston Martin’s second year back in Formula 1, they may receive an investment in by an Arab fund led by an oil company.
Aston Martin is a British motor racing team that participated in F1 for the first time in the 1959 season. However, after a fatal season in 1960, the team decided to take separate ways with F1. In 2021, however, the team returned to competition and since then it has Sebastian Vettel and Lance Stroll as its drivers. In addition, it is headquartered in Silverstone.
Investment in Aston Martin Racing Team From Saudi Arabia
Aston Martin is set to receive a major investment from Saudi Arabia’s sovereign wealth fund, which will become one of the company’s largest shareholders. The British sports carmaker, which has Lawrence Stroll as its chairman, has endured a period of financial difficulties. However, the company will now get a boost from Saudi Arabia’s Public Investment Fund (PIF).
PIF is the owner of Aramco, one of the world’s largest oil and gas companies and the main sponsor of the Aston Martin F1 team. Last year, PIF became a major investor in the McLaren Group, and is well known for its controversial ownership of Newcastle United soccer club. Sky News reports that Aston Martin is looking to raise £653 million with additional funds provided by existing shareholders.
Stroll’s Yew Tree Consortium would drop its stake to 18.7%, while Mercedes-Benz’s stake would also be reduced from 11.7% to 9.7%. PIF would become the second-largest shareholder with a 16.7% stake. “Today’s announcement marks the latest success in the evolution of Aston Martin, the restoration of the business and balance sheet we inherited, and the acceleration of our long-term growth potential,” said Lawrence Stroll.
Saudi Arabia’s presence in F1 has grown in recent years, as Aramco also formed a major sponsorship deal with the sport. Last year saw the first Saudi Arabian Grand Prix, which staged the penultimate round of the 2021 campaign. It was won by Lewis Hamilton, before Max Verstappen took the win at the Jeddah event earlier this year.
