McLaren has confirmed overnight reports of a £185m investment deal in its Racing division with American firm MSP Sports Capital.
The Woking-based company has been seeking funding options throughout the year amid the financial impact of Covid-19, with McLaren even running the risk of going insolvent back in June.
A £150m bank loan from Bahrain and the ongoing sale of its factory before leasing it back have eased those concerns, while a stake sell in its motorsport arm was also expected.
And now that has happened with MSP Sports Capital acquiring a 15% stake in the Racing division, a figure that will increase to 33% by the end of 2022.
The £185m injection increases the value of McLaren Racing to £560m.
“MSP Sports Capital is first and foremost a sports investor,” McLaren CEO Zak Brown commented. “They know the market and their team has considerable experience and proven success in global sports properties.
“They are a partner as much as a shareholder, with the ability to leverage their network and knowledge for the long-term benefit of McLaren Racing.
“This new investment bolsters our plan to return McLaren to contention for race wins and championships in Formula 1 and IndyCar, and will strengthen our positive momentum as we continue to focus relentlessly on our mission to return to the top of the podium.”
Also Read:
- ‘No way’ McLaren can challenge Mercedes for wins in 2021 – Seidl
- McLaren play down plan to raise funds by selling Woking HQ
Chairman of McLaren Racing, Paul Walsh added: “The partnership we are announcing today represents another important step in our proactive strategy to position McLaren Group for long-term success.
“Bringing partner capital and expertise into McLaren Racing will support the team’s return to the front of the grid and further strengthen our financial position.
“The fact that we have attracted a strategic investor of MSP Sports Capital’s calibre is testament to the unique history and exciting prospects of McLaren Racing. The business remains part of the McLaren Group and we look forward to working with MSP Sports Capital to deliver the next chapter of growth and success.”
Sunday could also be a big day for McLaren on the track, as they look to outscore Racing Point by 11 points in the Abu Dhabi Grand Prix and claim third in the Constructors’ Championship.
A result that would also bring extra prize money and represent their best finish in the Teams’ standings since 2012.