Mortgaging Aston Martin
According to ArabianBusiness.com, the Kuwaiti investors who purchased Aston Martin from Ford are now mortgaging the assets to fund expansion of the brand into the Chinese, Russian, and Indian markets.
The actual financial mechanism is called a “musharaka,” according to the website, but it sounds like a good old-fashioned lien in the way it operates: the borrower gets money and the investor gets ownership, in some way, of the asset used to secure the loan. Described as an equity partnership, it could also be that what’s contemplated is more like a sale and lease-back.
The chairman of the Kuwaiti company that owns fifty percent of Aston, Adnan Al-Musallam, also said that Aston expects 25% of its future sales to come from China.