Saudi PIF in Talks to Acquire Stake in McLaren
2021-07-20 - 11:22 p
Bahrain Mirror: Saudi Arabia's Public Investment Fund and Ares Management will invest £400m into the British-based automotive giant, Sky News reported.
Bahraini sovereign wealth fund Mumtalakat Holding has 62.6% stake in McLaren, while the National Bank of Bahrain has 44.2%.
Saudi Arabia's sovereign wealth fund is in advanced talks to acquire a stake in McLaren Group as part of a fresh shake-up at the British supercar manufacturer and Formula One (F1) team-owner.
Sky News has learnt that the Saudi Public Investment Fund (PIF) is to participate in a £550m equity-raise which could be unveiled by McLaren within days.
Banking sources said the deal would include £400m of new capital from PIF and Ares Management, a major global investment firm, with £150m being injected into the company by McLaren's existing shareholders - who include Mumtalakat, the sovereign investment fund of Bahrain.
The equity-raise was still being finalized on Friday and could still be delayed, the sources cautioned.
The Woking-based company endured a torrid start to the pandemic as it sought a government loan to shore up its balance sheet. It was also forced into a restructuring of its workforce which saw hundreds of jobs axed.