22nd Jun 2021 10:13
(Alliance News) - Aston Martin Lagonda Global Holdings PLC on Tuesday said it has sued a Swiss dealer, Nebula Project AG, over unpaid customer deposits for its GBP2.5 million Valkyrie 'hypercar'.
The Warwick, England-based luxury car predicts a hit to both cashflow and earnings before interest, taxes, depreciation and amortisation of up to GBP15 million for 2021.
Aston Martin shares were 2.0% lower at 1,895.50 pence in London Tuesday morning, the second worst performer in the FTSE 250 index.
Aston Martin has filed civil charges against Nebula and criminal charges against its board members to allow for the investigation of "any potential criminal behaviour" following the failure to pay some customer deposits for Aston Martin Valkyrie programme orders received by Nebula.
The car manufacturer said it has ended its commercial relationship with Nebula and also AF Cars AG, another Swiss dealer managed by Nebula's board members, after learning that vehicles had been sold in breach of terms of the dealership agreement.
It is operating as usual with its four other dealers in Switzerland. In future, Aston Martin said it will ensure all deposits for special vehicles go straight to the company, rather than through a third party.
"Aston Martin is fully committed to supporting and working with those customers affected to ensure that they will still receive delivery of their Valkyrie programme vehicles as scheduled, prioritising customer relationships, despite the company not having received all the deposited funds," the company explained.
The net financial impact will be "positive over time" but for 2021, cashflow and Ebitda will be hit by up to GBP15 million, which includes a GBP5 million provision of trade debtors.
"The company is confident that the net negative impact for 2022 can be managed within current expectations," it added.
Turning to trading, the company said it had performed "well" in 2021 so far and that the first deliveries of its Valkyrie model are due later this year.
Outside "the short term negative financial impact" over the Valkyrie deposits issue, Aston Martin is on course to achieve financial guidance for 2021.
By Scarlett Butler; [email protected]
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