Racing Point will be renamed as Aston Martin from the 2021 Formula 1 season.

Following weeks of speculation that Lawrence Stroll, Racing Point’s billionaire owner, was poised to buy into the British carmaker, it was confirmed on Friday a consortium led by the Canadian would pay £182m for an initial 16.7 per cent stake in Aston Martin.

As a result, Aston Martin will become the new name of Stroll’s Silverstone-based F1 team from the season after next, giving the team works status.

The initial agreement is for a 10-year term, with additional sponsorship arrangements attached.

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“Mid-engined cars are a core part of Aston Martin Lagonda’s future. As part of this, an enhanced approach to F1 is considered important,” read a statement.

Aston Martin will continue as Red Bull’s title sponsor in the upcoming 2020 season, but it was also confirmed that the partnership will end at the end of this year.

Lawrence Stroll (R) with his son Lance, who drives for Racing Point Lawrence Stroll (R) with his son Lance, who drives for Racing Point Lawrence Stroll (R) with his son Lance, who drives for Racing Point

Stroll took control of the former Force India team in August 2018 after it went into administration, with the outfit finishing seventh in last year’s Constructors’ Championship.

Stroll, who will become Aston Martin’s executive chairman, said: “I am very pleased that I, and my partners in the Consortium, have reached agreement with the Board and major shareholders to make this significant long-term investment.

“Aston Martin Lagonda makes some of the world’s most iconic luxury cars, designed and built by very talented people. Our investment announced today underpins the Company’s financial security and ensures it will be operating from a position of financial strength.”

Racing Point, who pair Lance Stroll – Lawrence’s son – with Sergio Perez in their line-up once again this season, launch their 2020 car in Austria on February 17.

Although Aston Martin have held title partnership rights at Red Bull in recent seasons, the luxury car brand have not had a works team in F1 for 60 years.