McLaren are in fantastic financial shape, Zak Brown assures01/10/2022
McLaren Racing CEO Zak Brown made it clear that the Formula 1 team is doing great, both financially and in terms of on-track success.
The onset of the global pandemic in early 2020 hit the wider McLaren Group hard, which announced a layoff of 25% of its workforce, while reports surfaced that the company were looking for loans to provide a cash injection, ultimately securing £150m from the National Bank of Bahrain.
A minority stake in McLaren’s F1 team was also sold to US consortium MSP Sport Capital in a deal worth £185m.
In the following year the McLaren Technology Centre base was sold to Global Net Lease for £170million, with the facility then leased back to McLaren, while in the summer of that year Brown stated that £550m-worth of new investment had been secured.
That reportedly came mostly from a deal with Saudi Arabia’s Public Investment Fund [PIF], along with contributions from McLaren Group’s majority owner Mumtalakat, and other investors.
Brown assured though that McLaren are now very much on a stable footing financially, with the F1 team benefiting greatly from its partnership with MSP, a collaboration that is now just over a year into existence.
As quoted by Motorsport-Total.com, he said: “We are in great financial shape.
“Our sales are growing rapidly. I think we have announced more commercial partners than any other Formula 1 team.
“MSP has given us the financial resources we need to become profitable.
“They were a very stabilising factor within the racing team both fiscally and emotionally. They are great partners. They are sports investors and want to win. They understand the sport because Formula 1 is a unique business. So we couldn’t be happier after a year.”
McLaren’s on-track success has also played a huge part in boosting morale within the F1 team said Brown.
In 2020 the team secured P3 in the Constructors’ Championship, and despite slipping a place in 2021, they returned to the top step of the podium as Daniel Ricciardo claimed victory at Monza, with Lando Norris making it a one-two for the team.
That was the first McLaren one-two in Formula 1 since Canada 2010.
“With the results on and off the track and the investment, the morale in the team has never been better,” Brown stated.
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