Mahindra & Mahindra, the Indian carmaker, has withdrawn from the bidding process for Aston Martin, leaving Italian buyout firm in pole position to take a stake in the company, according to a source close to the situation.

A person close to Investindustrial said that Mahindra & Mahindra was no longer bidding for Aston Martin, the favourite carmaker of James Bond, leaving the Italian firm as the sole remaining bidder for a 40% stake in the business, with an agreement now potentially in sight "within days".