Aston Martin – shares are on the run upwards, is a bidder in the wings?
Some 19.77m shares of Aston Martin Lagonda Global Holdings (LON:AML) were traded last Friday, with the market abuzz with rumours of an early bid from China.
One assumes that if such a bid actually transpires it would emanate from Geely Holdings, the Chinese automobiles manufacturer that now holds some 16.66% of the luxury car maker’s equity.
Geely, which is controlled by the billionaire Li Shufu, owns Volvo, Polestar, Lotus and the London Electric Vehicle Company amongst several other brands.
The AML shares were traded 5% higher before the weekend, up to 338p, which is still some way below the last level at which Geely bought more stock, paying some £15m for more shares at 371p in the £216m share Placing at the start of this month.
So, if a bid does happen it would need to be certainly higher than that price, probably over the 400p level.
Broker Jefferies has upgraded the group’s shares from being a Hold to a Buy, lifting its Target Price from 300p to 420p.
Hold very tight to your holdings, there really is so much more to go for yet.
This morning the shares are another 5% better at 356p, up 18p.