Following the initial agreement between Aston Martin and Mercedes-AMG for co-developing engines and electronics, the British company has now signed the papers with Daimler, making the partnership official. According to the terms of the agreements, Daimler will receive up to five percent non-voting shares in Aston Martin without cash consideration.

This way Daimler joins Aston Martin’s existing shareholder body that includes Primewagon, Adeem Investment and Investindustrial, and will also receive an observer status on the Aston Martin Holdings board.

In return, AMG will develop new V8 engines for the next generation of Aston Martin models that will incorporate cutting edge technology, combining high performance and fuel efficiency. This means the age-old V12 engine and the Jag-derived V8 Aston currently use are on their way out. To be fair though, they’ve been around for too long.

The cooperation between Aston Martin and Daimler is not limited to engines, as both parties are working to conclude the terms of an additional cooperation for the supply of electric/electronic (E/E) components, investigate additional areas of cooperation in the future.

Meanwhile, Aston Martin continues to produce their existing range of exotic cars at their Gaydon headquarters in Warwickshire, England.