Mercedes F1 boss Toto Wolff is determined for insider trading through Aston Martin participation

If Wolff knew about the appointment of Tobias Moers and the Mercedes investment in the Aston Martin brand, it could mean trouble.

By Sahil Gupta
| Updated: 24-Aug-21 12:16 PM IST

0 Views

View photos

Wolff bought Aston Martin shares worth $ 35.24 million in April 2020

According to the Canadian newspaper Le Journal De Montreal, Toto Wolff and Lawrence Stroll, the bosses of the two F1 teams of Mercedes and Aston Martin, are under investigation for insider trading. Mercedes F1 boss Toto Wolff bought Aston Martin shares worth $ 35.24 million in April 2020 for a 0.95 percent stake in the legendary British sports car manufacturer. The case has been brought to the UK Financial Regulator for review by the Federal Financial Supervisory Authority.

Lawrence Stroll led a consortium to acquire a controlling stake in Aston Martin in January 2020 and then also renamed his Racing Point F1 team to the Aston Martin brand. He ousted the long-time Aston Martin boss Andy Palmer and replaced him with the former Mercedes-AMG boss Tobias Moers. Later in the year, Mercedes itself acquired a further 20 percent of the shares in Aston Martin in exchange for technical know-how, which led to questions about insider trading, as Wolff profited massively from his investment.

Lawrence Stroll acquired the Racing Point F1 team in 2018 and then Aston Martin in 2020

If Wolff had any prior knowledge of Tobias Moers ‘appointment and Mercedes’ investment in the Aston Martin brand, then this is a clear case of insider trading, as Wolff gained significantly as these events added to the value of Aston Martin. Aston Martin shares are up 60 percent since April 2020. The Mercedes F1 engine division is also a customer of the Aston Martin F1 team. Racing Point’s 2020 and 2021 cars, which have now become the Aston Martin F1, were also based on the Mercedes W11 and W12 concepts.

The Mercedes and Aston Martin cars, in particular, were the biggest losers in changing ground rules in 2021, as their low-rake cars lost more downforce than their competitors. This led to a situation where Aston Martin took a giant leap to 7th in the Constructors’ Championship while Mercedes didn’t have the best car on the grid for the first time in the sport’s turbo-hybrid era. There is certainly a closeness between the two teams and their bosses, as Wolff and Stroll are known to be close to each other. Wolff is not only the F1 boss of Mercedes, but besides Daimler and Ineos he is 33 percent co-owner and CEO of the team.

0 comments

Follow carandbike.com on Twitter, Facebook and subscribe to our YouTube channel for the latest car news and reviews.