- Aston Martin and Lucid Group are teaming up on electric vehicle technology. Aston Martin will pay $232 million to Lucid in shares and cash for battery-electric powertrain components. Aston Martin also extended its partnership with Mercedes-Benz, but won't issue more stock to the German carmaker.
- Aston Martin shares soared up to 15%, their biggest intraday jump in over a month. Lucid also advanced as much as 9.1% in premarket US trading. Chairman Lawrence Stroll described the proposed supply agreement with Lucid as a game changer for Aston Martin's EV-led growth. The Public Investment Fund (PIF) holds about 49% of Lucid and 18% of Aston Martin, according to Bloomberg data.
Why it matters
To overcome financial challenges, Aston Martin relies on partnerships for core technology. They will pay Lucid $132 million in cash and spend at least $225 million on powertrain components. An additional $10 million will be paid to integrate Lucid's technology into Aston Martin vehicles.
