British luxury car maker Aston Martin is planning to raise funds to expand its product line to crossover SUVs, which is expected to help the company recover from sliding profit.
The company is expected to raise between $156m-$234m in funding with new shares offered to current investors.
Aston Martin is planning to issue new shares or bonds and extend its current recovery strategy, Reuters cited a source familiar with the matter as saying.
The company believes that due to weak investment strategy the company could not keep up with the global boom of luxury cars which has almost doubled in the past five years.
In 2013, Aston Martin only delivered 4,200 cars which is a lot less than the 7,300 units sold during the pre-financial crisis peak in 2007.
The investment is expected to help the company free up by more efficient management of working capital such as vehicle and parts inventory, the source said.
Aston Martin was a part of Ford which sold the company to Milan-based Investindustrial and the Kuwaitis which presently own 93% of the company and 5% is owned by Daimler.
The company has reportedly commenced updaton of its existing models with £500m pound investment strategy created back in 2012, and recently it unveiled DB10 sports car which will be used in the upcoming James Bond movie Spectre
