Daimler to Raise Stake in Aston Martin

Daimler AG tells Bloomberg News it will increase its holding in Aston Martin Holdings Ltd. to 5% of non-voting shares as it expands its technology supply agreement with the British luxury carmaker.

Daimler acquired 4% of Aston Martin last December in exchange for supplying the company with engines. The deal included an option to hike its stake to 5% by adding electronics and other components to the arrangement.

Aston Martin hopes to nearly double its global sales to 7,000 units by 2016. Bloomberg says the company and Daimler are discussing plans to co-develop an SUV that Aston Martin would introduce in 2017.