The electric vehicle market is heating up. Young companies like Tesla and BYD are leading the way, but century-old car manufacturers are trying to catch up. One such manufacturer is Aston Martin. Most recently, the company has struck a deal with Lucid Group to gain access to its “high-performance” EV technology. Here are the details…

How the Aston Martin and Lucid Partnership Will Benefit Both Companies

Aston Martin is partnering with Lucid Group to get its hands on the U.S. company’s high-performance electric vehicle technologies. Aston Martin will pay Lucid $232 million in cash and shares, and in return, it will get access to Lucid’s battery technology, electric powertrains, and software. Aston Martin plans to launch its first EV in 2025, and this partnership with Lucid will give it the technology it needs to develop a competitive product. So, why does Aston Martin need such a merger?

Aston Martin needs a merger to help it afford the transition to eco-friendly vehicles. The transition is costly, and car manufacturers worldwide are pledging billions of dollars to develop low-emission technology. Smaller manufacturers like Aston Martin don’t have the resources to make this transition on their own, so they need to partner with other companies. This allows them to share the costs and risks of developing new technologies.

The deal was welcomed by investors, who sent Aston Martin’s shares up by nearly 15% on Monday. According to the latest reports, the shares are now trading at their highest level in over a year. Lawrence Stroll, executive chairman of Aston Martin, said the deal with Lucid was “a significant step forward in our electrification strategy.” He added that the partnership would “allow us to accelerate our plans to bring to market a range of highly competitive electric vehicles.”

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