Italian private equity fund Investindustrial has signed a deal with the Aston Martin to invest about 150 million pound (about Rs.1,308.23 crore) for a 37.5 percent share in the British sports car company. As a part of the deal, company will be investing a total of about 500 million pound (Rs. 4,360.77 crore) in the product development over a period of five years.
Mahindra and Mahindra was previously thought to be the most favorable candidate for the deal with the greater cash flow. However, Investindustrial has also offered technical partnership with the Mercedes and AMG as a part of the deal. The announcement however, didn’t mention any technical tie-up with the Mercedes.
Investindustrial earlier owned Ducati which was sold to Audi earlier this year for a sum of $1.1 bn (Rs. 9,593.7 crore).