Aston Martin's recent rescue by a consortium led by Canadian billionaire Lawrence Stroll was a welcome shot in the arm for the embattled company, but it's not out of the woods yet.
That is because despite its coffers being boosted by £536 million, according to European Securities and Markets Authority rules – per Automotive News Europe – it still might not have enough working capital due to "increased and unquantifiable uncertainty" brought about by the coronavirus pandemic.
The latest goings on at Aston Martin
Aston Martin said that the problems caused as a result of the ongoing crisis have made it impossible to determine a "reasonable worse case downside," and its shares have also tumbled by 9.3 percent as well. Aston Martin's stock price has also has fallen 60 percent this year alone, and is now 89 percent below the price it was when the company first went public in 2018.
The recent cash infusion should have been enough to help Aston Martin with its cashflow problems, but the coronavirus crises put an end to that hope.
"Taking into account the proceeds of the capital raise, the company is of the opinion that the group does not have sufficient working capital to meet its requirements for 12 months," Aston Martin previously said ahead of Stroll's bailout.
As part of his investment, Stroll will take over as executive chairman of the company said that the investment "gives the necessary stability to reset the business for its long-term future. We have a clear plan to make this happen."
The investment will also aid the production of the new DBX SUV, a product that Aston Martin is counting on to help it turnaround its fortunes. Deliveries are set to commence this summer, but they could be hindered.
Gallery: 2019 Aston Martin DB11 AMR first drive