UK-based car maker Aston Martin is set to raise £575.8mn ($660mn) via a rights issue. Saudi’s wealth fund i.e., the PIF and other major investors have supported the issue. The rights issue will be done at a 4:1 ratio (four shares for each existing stock) at 103 pence/share. The rights issue was fully committed and underwritten, with support from PIF, Yew Tree, and Mercedes-Benz. The company posted losses in 1H 2022, affected by supply-chain disruptions. The raised funds will be used to lower debt and to make investments in new models. The company had recently declined a £1.3bn ($1.5bn) investment proposal from Italian group Investindustrial Advisors and Chinese car company Geely.
Aston Martin’s USD 10.5% 2025s traded lower by 0.6 points to 101.5, yielding 9.7%.
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