In a significant move, Bahrain’s sovereign wealth fund, Mumtalakat, has finalized a deal securing complete ownership of McLaren Group, as per reports from Sky News on Friday.
Mumtalakat, holding a majority stake of 50% in the Group, which encompasses the prestigious British supercar manufacturer and McLaren Racing, has been deeply involved in stabilizing the financial trajectory of the auto giant amidst the challenging landscape induced by the pandemic. Over four years, investors had to infuse a substantial $1.92 billion to navigate through losses. Notably, in December, the Group received unanimous approval from its shareholders for a comprehensive recapitalization plan.
According to the report by Sky News, an official announcement regarding the successful conclusion of the supercar manufacturer and Formula One team shareholder’s recapitalization is anticipated later today.
As part of this pivotal recapitalization agreement, McLaren’s remaining minority shareholders have reportedly consented to convert their equity into warrant-like instruments, signaling a strategic move towards bolstering the Group’s financial resilience.