AC Cars plans to increase sales by at least 500% over the next five years with two new models and expanded dealer coverage.

A £45,000 Mambo coupe version (pictured) of the Cobra roadster goes on sale next year, followed by a drophead Ace in spring, priced around £30,000.

Alan Lubinsky, AC chairman, said: “As major manufacturers absorb classic names the niche potential for hand-built cars grows. In four or five years the Mamba and Ace should help AC generate between 500 and 750 annual sales.”

AC Cars plans to add four dealers – in Cambridgeshire, Cornwall, North-east England and central London – taking the network to 14.