007? Aston Martin’s more like 003.5, say hedge funds

HEDGE funds didn’t take long to target Aston Martin – secret agent 007’s car firm of choice.

Financiers at French firm Carmignac pounced on the tumbling share price a week after the float in October by taking out a £20million bet that the shares would remain in reverse. How right they were.

Since floating at £19 per share, the shares have now crashed to just £11.50, meaning those who bought in at the start are sitting on paper losses of 40 per cent.

George Soros quickly joined Carmignac as his firm SFM UK Management also began shorting Aston’s shares – where investors borrow stock, sell the shares then hope to buy them back at a lower price to make money.

SFM has trimmed its short position now, cashing in some of its winnings from Aston’s downturn.

But others predict yet more pain. London hedge fund Adelphi Capital is the latest to bet against the shares – according to short-selling specialists Breakout Point – having taken out a 0.53 per cent short position.

Some say Aston has fallen far enough. Adelphi has bet £15million that it hasn’t.

THE joint bosses of investment giant Standard Life Aberdeen, went headto-head last week, buying shares in their own firm.

And now Martin Gilbert – founder of the Aberdeen side of the business – could be the target of some ribbing this weekend.

His co-chief executive Keith Skeoch – who headed the Standard Life business before its merger with Gilbert’s outfit last year – bought 50,000 SLA shares for £2.34 each on Wednesday, costing £116,800.

On Thursday, Gilbert purchased 50,000 shares at £2.38 each – costing him an extra £2,000.

Both were outdone, however, by new chairman Douglas Flint, who snapped up 40,000 shares on Tuesday at £2.21 each.

IT’S just over a month since Flybe – Exeter’s budget regional airline – put itself up for sale amid profit concerns.

Sir Richard Branson’s Virgin Atlantic flew out of the blocks and entered talks with Flybe’s advisers. Rumours followed of a rival bid from British Airways owner IAG, but things have since gone quiet.

The battle has been complicated by plummeting oil prices because cheaper fuel means a potentially higher valuation for the company. Unless the suitors show they mean business, the airline may decide it doesn’t need to sell after all.

jamie.nimmo @mailonsunday.co.uk