Aston Martin secures £550m loan deal

Aston Martin secures £550m loan dealImage source, Getty ImagesImage caption, Aston Martin said the loans would be used to fund future product plansPublished4 minutes agoAston Martin has secured £550m in loans as it attempts to boost its finances.The luxury car maker has been struggling in recent years and in March announced it would cut about 600 jobs, as last year's net losses leapt by a little over 50% to £493.2m.The firm has blamed the effects of US tariffs and weak demand in China.Its half-year results are set to be published on 29 July, but on Wednesday the firm announced loans that it said would bolster its balance sheet and fund future product plans.Headquartered in Gaydon, Warwickshire, most of the job cuts were thought to affect sites in the UK, where the majority of its staff are based.The company has been burning through cash and at the time it announced the job cuts, Aston Martin said the move would mean annual savings of about £40m.Image source, Getty ImagesImage caption, The Valhalla model went on sale last yearThe funding announced on Wednesday, managed by HPS Investment, includes a £450m senior secured-term loan, which means it is repayable ahead of other creditors and is backed by specific assets.In addition there is a £100m delayed draw term loan, meaning the funding will be available at specific points, rather than payable upfront.Experts have said Aston Martin has been operating in an increasingly competitive global market in recent years and was particularly susceptible to reduced demand.Chief financial officer Doug Lafferty said in a statement: "This new £550m debt financing significantly strengthens our liquidity, providing us with both additional resilience and further flexibility to execute our current and future product plans." Get in touchTell us which stories we should cover in WarwickshireContact formContact formFollow BBC Coventry & Warwickshire on BBC Sounds, Facebook, external, X, external and Instagram, external. R...