Aston Martin is in talks with a consortium of private credit funds, including BlackRock‑owned HPS Investment Partners, to raise new debt and reinforce its cash reserves, Bloomberg reports. The proposed financing would be backed by assets placed beyond the reach of existing creditors—a manoeuvre known as a drop‑down. This technique allows a company under financial pressure to raise liquidity against assets it already owns, without needing existing debtholders’ consent. For a direct lender such as HPS, it provides a clear route to deploy capital into a stressed but high‑profile borrower, secured against ring‑fenced collateral.

A group led by Arini Capital Management, alongside BlackRock and Sculptor Capital Management, has joined forces over concerns that the carmaker could tap provisions in its relatively loose bond documentation, potentially subordinating or disadvantaging these creditors, Bloomberg said. The dynamic pits one set of funds weighing new money secured against protected assets against another defending its position in the capital structure.

Aston Martin’s financing need reflects ongoing operational strain from product delays, quality issues, soft demand in China and US tariffs. Having relied heavily on equity injections, the company signalled a shift toward debt in April when shareholders provided £50m of borrowing to strengthen its cash buffer. The current talks suggest that third‑party private credit, rather than further shareholder support, may drive the next phase of funding.