Gulf Auto Zone

Mumtalakat Wrests McLaren Control

Mumtalakat, Bahrain holding company, has strengthened its ownership of McLaren, with Ron Dennis divesting his holding in McLaren Technology Group and McLaren Automotive. Sheikh Mohammed bin Essa Al Khalifa, Chairman of Tamkeen, will become the executive chairman of the new group. Dennis sold 25 per cent of his stake to both Mumtalakat and Mansour Ojjeh. The sale ends his 37-year association with the company, said a media report. The deal is understood to be worth £275 million. He said the deal represents a fitting end to his tenure with McLaren. It is expected to help him move out and focus on other issues. “I have always said that my 37 years at working should be considered as a chapter in the McLaren book, and I wish McLaren every success as it takes the story forward,” Dennis told the media. The departure of Dennis is expected to lead to the two arms of the company being combined under a single McLaren Group structure. Dennis, who turned 70 earlier this month, was put on gardening leave from his role of chief executive of MTG last November following an acrimonious legal battle with his fellow shareholders. Since stepping down as MTG’s chairman and chief executive, Dennis has joined the Ministry of Defence’s Innovation Advisory Panel, which is tasked with applying new technologies to defence activities. Dennis is credited with McLaren winning 10 Drivers’ and seven Constructors’ Championships and also for nurturing Lewis Hamilton’s arrival in F1. The majority shareholders now remain Bahrain’s Mumtalakat sovereign wealth fund, and Tag Group, a Luxembourg-based group run by Mansour Ojjeh. He has been among the major investors since 1984. Dennis’ relationship with the group had soured. With this divestment, the former CEO stands down from all his dealings from the board of the motor sport and technology companies.

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