Aston-Martin Lagonda makes £135m senior secure note placement

2nd Aug 2024 10:01

(Sharecast News) - Luxury car company Aston-Martin Lagonda has successfully placed senior secured notes totalling approximately £135.0m, further strengthening its financial position and supporting long-term growth.

Aston-Martin said on Friday that net proceeds from the private placement were expected to be used to repay borrowings under its existing super senior revolving credit facility, to pay fees and expenses, and for general corporate purposes.

The London-listed firm stated that together with its affiliates, its Aston Martin Capital Holdings subsidiary had privately placed $90.0m aggregate principal amount of 10.00% senior secured notes due 2029 and £65.0m aggregate principal amount of 10.375% senior secured notes due 2029.

Chief financial officer Doug Lafferty said: "Last week at our first half 2024 results we highlighted the positive progress made by Aston Martin so far this year as we continue to execute our immense product transformation, which will support volume growth and sustainable positive free cash flow generation later this year.

"Following positive feedback after the results from the capital markets with encouraging demand from the company's existing bondholders, we are pleased to announce today that we have successfully priced a £135.0m equivalent private placement. These new senior secured notes, along with the refinancing completed in March 2024, provide Aston Martin with additional liquidity as we continue an exciting second half of the year."

As of 1000 BST, AML shares were down 0.99% at 150.70p.

Reporting by Iain Gilbert at Sharecast.com