Aston Martin Lagonda's sale of its 4.6% stake in the eponymous F1 team puts its value at $3.2bn (£2.4bn).

The troubled car manufacturer, which is majority owned by Lawrence Stroll's Yew Tree consortium sought to sell its stake to help alleviate its financial woes, most of which are the result of poor car sales.

Though it doesn't identify the buyer, Lagonda Global Holdings Plc has confirmed that a binding letter of intent has been signed which would see its 4.6% stake sell for $146m (£110m) thereby putting a $3.2bn value on the team.

While the team is also struggling at present, it is anticipated to take a significant step forward next season, when it partners with Honda which will power its Adrian Newey designed car.

Stroll and his consortium, which owns 33% of the car manufacturer, has invested heavily in the F1 team and despite its struggles this year the fruits of that investment are likely to be witnessed from 2026 onwards.

The purchaser of Lagonda's stake in the team is likely to have been encouraged by the mouth-watering values put on teams in the wake of the sport's increasing popularity.

LATEST NEWS

more news >

LATEST IMAGES

galleries >

Click to go to the main galleries section

READERS COMMENTS

1. Posted by kenji, 6 hours ago

"It would be most interesting to know the basis for this evaluation as considering the valuation and subsequent sums estimated what level of RFI are they using and what data do they have to support it. There certainly has been some great improvements in business related performances but forward estimates need to have a basis and growth factors don't always bear fruit. The higher the gain the higher the risk......"

Rating: Neutral (0) Rate comment: Positive | NegativeReport this comment

2. Posted by Dirt, 15 hours ago

"@Anthony: My layman's take on when "peak F1" happens is sometime in the next 2-3 years. Liberty, being an investment entity, is by definition interested in buying low, building the business, and selling high. One could argue they've substantially achieved the second goal and, with that, may now thinking internally about when and to whom to sell. Especially now they've got the shiny new toy that is MotoGP to play with.

Maybe I'm totally off base, but I'd be mildly surprised if F1 hadn't crested the hill and started on some form of a commercial and popular downslope within five years."

Rating: Positive (1) Rate comment: Positive | NegativeReport this comment

3. Posted by Spindoctor, 16 hours ago

"£2.4billion for a (currently) mediocre F1 Team. If you needed an exemplar of the stupidity of 'markets' this is it. Emotion is worth much more that reality!"

Rating: Positive (1) Rate comment: Positive | NegativeReport this comment

4. Posted by kenji, 17 hours ago

"It didn't take long for Christian Horner to make a move. Now that he's got a stake in the team his pal Bernie will start to make moves on increasing the shareholding until they gain a controlling parcel. I expect Flavio to appear somewhere on the register. He's a consultant, not an employee of Renault so that shouldn't be a problem. Moving right along......."

Rating: Positive (2) Rate comment: Positive | NegativeReport this comment

5. Posted by Anthony, 19 hours ago

"The current market cap of Aston Martin Lagonda is approximately $1bn which means that the F1 team has a value of around 3 times the car manufacturing business. As JamesD notes, the car business is facing additional challenges at the moment but the value differential really highlights the extraordinary value being generated by the F1 business (or perhaps extracted from the fans attending races and from tv subscriptions …) I do wonder when we will see “peak F1” and how much longer F1 will continue to lay the “golden eggs” that generate the current valuations. "

Rating: Positive (3) Rate comment: Positive | NegativeReport this comment

6. Posted by JamesD, 20 hours ago

"To defend Aston Martin Lagonda a little, their current poor car sales are due to :- 1. delays in shipping to US (their #1 export market) due to uncertainties over Trump's tariffs (now sorted) and 2. flat market for luxury vehicles in China (their #2 export market)."

Rating: Positive (2) Rate comment: Positive | NegativeReport this comment

Aston Martin valued at $3.2bn (£2.4bn)

LATEST NEWS

RELATED ARTICLES

LATEST IMAGES

POST A COMMENT

Post your comment

READERS COMMENTS

Share this page