By Adriano Marchese

 

Aston Martin Lagonda Global Holdings PLC said Tuesday that it intends to raise 125 million pounds ($162.8 million) in a share placing, and that it has entered into a technology agreement with Daimler AG's Mercedes-Benz.

The British luxury car maker said it will issue 250 million new shares--representing 13.7% of the company's existing share capital--at a price of 50 pence a share.

The previous day's closing price in London was 52.15 pence.

Aston Martin Lagonda also said it has signed an expanded and enhanced technology agreement with Mercedes-Benz for access to advanced technologies in exchange for new shares.

Under the agreement, Mercedes-Benz's equity stake will be increased up to a maximum of 20% in multiple stages. Mercedes-Benz will also receive the right to nominate one nonexecutive director to the board after its first shareholding increase.

 

Write to Adriano Marchese at adriano.marchese@wsj.com

 

(END) Dow Jones Newswires

October 27, 2020 13:21 ET (17:21 GMT)

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