Aston Martin stocks soar as Geely raises stake
STORY: Aston Martin shares soared as much as 25% on Thursday (May 18).
Investors were excited to hear the luxury carmaker announce a $290 million investment by China's Geely.
It doubles the EV giant's stake in the British company, and makes Geely the third-largest shareholder.
That's behind Chairman Lawrence Stroll's Yew Tree, and the Saudi Public Investment Fund.
The investment could secure Aston Martin's long-term future and cut its net debt.
That stood at more than $1 billion at the end of March.
The car company has battled financial issues, and gone bankrupt seven times in its history.
It said last month that this year would be its peak for capital spending.
Geely also owns multiple brands like British sportscar maker Lotus.
It said was confident in Aston Martin's growth prospects, tech and management.
Geely will now take a 17% stake in the company and is entitled to one board seat.
Aston Martin expects profitability to improve this year.
It has high hopes for deliveries of its next-generation sports cars in the third quarter.
