Aston Martin may soon follow Ferrari's lead with an IPO as soon as next year. The move has payed off immensely for Ferrari.
may soon be following Ferrari's
lead, as Automotive News reports
that people within the British automaker say it may soon consider an initial public offering. If it happens Aston Martin will likely list in London
, not New York like Ferrari. While some in the industry were initially wary of Ferrari's move, the company is doing better than ever
, with shares rising 62 percent since its IPO
An IPO could be a huge plus for Aston Martin. The company is looking to boost both sales and profit. Ferrari and Aston Martin sell similar vehicles at similar price points, but Ferrari has a much wider audience, even if most of those fans will never even sit inside one of its cars. That would likely be a big sticking point in estimating Aston Martin's value. It also moves half as many units as Ferrari per year.
Aston Martin does have a new crossover on the horizon
. Like Porsche
, a crossover
has the potential to more than double the automaker's sales. Even without it, fourth quarter profits in 2016 notably increased, fueled by solid sales of the new DB11
. The IPO won't happen until sometime next year. The company wants to wait on a full 2017 earnings report.
Read more at autoblog.com