McLaren Racing Set for £3bn Valuation as Gulf Owners Move to Full Control

McLaren Racing is poised to change hands at a valuation exceeding £3bn, with its Gulf owners moving to take full control of one of Formula 1’s most storied teams.

Bahrain’s Mumtalakat sovereign wealth fund and Abu Dhabi-based CYVN Holdings are set to acquire the 30% of McLaren Racing they do not already own. An announcement could come as soon as Tuesday, according to sources familiar with the matter.

The deal will see the pair buy out stakes held by MSP Sports Capital, Ares Investment Management, UBS O’Connor and several smaller shareholders. MSP Sports Capital led an initial 15% investment in 2020 that valued McLaren Racing at just £560m, providing much-needed liquidity as the wider McLaren Group battled the financial fallout of the pandemic.

Since then, McLaren has undergone sweeping restructuring measures, including asset sales and capital injections, to shore up its balance sheet. The turnaround has been underpinned by the resurgence of McLaren Racing under CEO Zak Brown, with the team now enjoying its strongest competitive spell in decades.

Oscar Piastri’s victory at the Dutch Grand Prix last weekend extended McLaren’s commanding position in the constructors’ championship, while teammate Lando Norris sits second in the drivers’ standings.

The £3bn-plus valuation highlights both McLaren’s renewed strength and the growing appetite among investors for Formula 1 assets. Aston Martin recently announced plans to sell a stake in its F1 operation at a £2.4bn valuation, while speculation continues around Red Bull and Mercedes’s long-term ownership structures.

For minority investors who came aboard as recently as 2021, the buyout represents a lucrative exit. Mumtalakat will remain the controlling shareholder following the transaction, simplifying the ownership structure of McLaren Racing.

Bankers have long touted the prospect of a McLaren IPO, but persistent supply chain challenges and the group’s reliance on private funding suggest a listing remains years away.

Founded in 1963 by Bruce McLaren, the team has won more than 200 Grands Prix, three Indianapolis 500s and the Le Mans 24 Hours on its debut. Its drivers have included legends such as Ayrton Senna, Alain Prost, Mika Hakkinen and Lewis Hamilton.

The company was reunited under one umbrella following the departure of longtime boss Ron Dennis in 2017, who sold his stake in a £275m deal after a shareholder dispute.

Now, with new owners consolidating control and the team back at the pinnacle of F1, McLaren looks set to enter its next chapter from a position of strength.

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