Aston Martin Lagonda, the iconic British carmaker known for outfitting James Bond, has announced the sale of its stake in the Aston Martin Aramco Formula One Team as part of efforts to shore up its struggling balance sheet.
The $146 million deal, revealed in a binding letter of intent this week, values the Formula 1 team at $3.2 billion. While the buyer has not yet been disclosed, the move sees Aston Martin offload its 4.6% stake in the team—meaning it never held majority control to begin with.
The transaction marks a significant shift in Aston Martin’s strategy, as the company faces deepening financial challenges. Shares have lost over 50% of their value in the past year, and second-quarter revenues dropped by 34%, driven by sluggish demand for high-performance models such as the Valkyrie and the delayed Valhalla hypercar.
Compounding the pressure is a newly implemented US–UK trade agreement, which reduces auto tariffs to 10%, but only for the first 100,000 vehicles annually. Once that quota is reached, tariffs snap back to a punishing 27.5%—a brutal prospect for low-volume luxury manufacturers like Aston Martin.
Although this represents an improvement on the previously flat 27.5% rate, it’s still well above historical norms, and introduces added volatility into Aston Martin’s most critical export market.
Ironically, while the Aston Martin F1 team has had an underwhelming season on track, the rising commercial value of the sport helped the carmaker command a premium for its minority stake. Back in March, the company had forecast a sale price closer to $100 million, but the final deal ended up being nearly 50% higher.
The team is controlled by Lawrence Stroll, the Canadian billionaire whose Yew Tree Consortium owns 33% of Aston Martin Lagonda. His son, Lance Stroll, races for the team. Existing branding agreements mean the Formula 1 outfit will continue under the Aston Martin name, even as the manufacturer exits its equity position.
Despite current performance woes, there’s reason for optimism in the F1 garage. The team has secured the services of Adrian Newey, the legendary engineer behind Red Bull’s recent dominance. Combined with new regulations arriving in 2026, the reshuffle could present an opportunity for Aston Martin’s racing arm to move up the grid.
With its back against the wall, Aston Martin Lagonda is now in cash preservation mode. The divestment is aimed at refocusing on its core automotive operations and securing capital to support upcoming model launches and electrification efforts.
While Formula 1 will remain a key branding tool, the company is clearly prioritising survival over sentiment—cashing in on its minority holding to generate short-term liquidity.
Paul Jones
Harvard alumni and former New York Times journalist. Editor of Business Matters for over 15 years, the UKs largest business magazine. I am also head of Capital Business Media’s automotive division working for clients such as Red Bull Racing, Honda, Aston Martin and Infiniti.
