AC introduced an updated version for its Ace roadster version in 1962 and fitted it with a Ford 289 engine in the following year, offering a better mix of beauty and performance.
After Carroll Shelby visited the AC factory, things started to get better for the small British carmaker. A contract with Ford led to a new market in the U.S. In the U.K., the base version was powered by a Ford inline-six engine, while for the American customers, the base model featured a Ford V-8, paired with a four-speed manual.

Along with the MKII version, AC made a few modifications to the bodywork. At the front, a grid-like grille filled the oval-shaped space in the front fascia. It featured the same horn-type front bumper with a chromed, metallic circular bar. The carmaker added side vents on the front fenders to help engine cooling.
The cockpit featured a few upgrades. Its hinges were not exposed as on the Mark I. The T-shaped, three-spoke steering wheel was new, replacing the Y-type three-spoke one built until 1962. AC chose a new supplier for the bucket seats, with a higher bolstering.

Under the hood, AC Cobra featured a Ford 4.7-liter engine, also known as Ford-289 (289 cu-in). Along with the facelifted version, AC used a new rear axle with inboard disc brakes to reduce the unsprung masses. Also, due to new reinforcements, the MkII was heavier by 134 kg (295 lbs) than its predecessor.