Bahrain’s sovereign wealth fund, Bahrain Mumtalakat Holding Company, last week became McLaren’s sole owner after buying out all other shareholders in a recapitalization process.
Bahrain Mumtalakat was already the main shareholder of McLaren, which is responsible for McLaren Automotive’s supercar business and also owns a majority stake in McLaren Racingthe company that operates the McLaren Formula 1 team.
McLaren has been struggling financially since the pandemic. The company survived with additional funding from existing investors as well as taking some more extreme measures such as selling historic cars It is selling your headquarters in a sale and lease agreement.
In the first nine months of 2023, which is the most recent period for which McLaren’s financial results are available, the company reported a pre-tax loss of 276 million British pounds (approximately $349 million).
McLaren headquarters in Woking, UK
To turn the situation around, Bahrain Mumtalakat reached an agreement with other shareholders late last year to carry out recapitalization in order to introduce a simplified shareholder structure with a more streamlined governance process. The measure aims to facilitate the formation of potential strategic partnerships with new investors and technology suppliers.
“This reorganization and new streamlined structure positions McLaren for success and opens up strategic avenues, which include exploring new partnerships to enhance the company’s growth in the coming years,” said Shaikh Abdulla bin Khalifa Al Khalifa, CEO of Bahrain Mumtalakat, in communicated.
Aston Martin, which like McLaren does not have a large automaker behind it, established a technological partnership with Lucid, US electric vehicle startup last year. This partnership will see Lucid provide some of its leading technology to Aston Martin, which plans to launch its first EV in 2026.
McLaren could potentially form a similar partnership. The company has yet to announce plans for an EV, and if it does, it will likely be something other than a supercar. CEO Michael Leiters said EV technology will not be suitable to a supercar by the end of the decade. He also said that McLaren is open to new segmentslike the ever-popular SUV segment.
