Audi reportedly buying McLaren: BMW exits from race

McLaren, the Woking, England based supercar brand was reported to be acquired by the German carmaker - Audi. However, McLaren has confirmed in a new statement that it is not planning to trade any arms of its business.

By:Updated: Nov 15, 2021 8:45 PM
McLaren Audi BMW

 

Carmakers have a tough time not just taking podiums at the F1, but also making an entry at the championship. German marque Audi has been keeping away from the most celebrated motorsport event – the F1 championship. The carmaker, however, is now planning its debut at the Grand Prix soon. As per recent reports from the European media outlets, Audi is interested in buying the McLaren with intentions to enter the F1 championship.

Well, McLaren is dealing with a lot of friction to work its finances post pandemic. The company has raised over 738 million USD with sales of shares, equity warrants, and via existing investors. Another 620 million USD were raised through a bond issue. Also, the resignation of CEO Mike Flewitt after spending eight years at the brand gives a sign of finances not being on McLaren’s side.

Considering this as an opportunity, Audi is reported to be looking out to buy the McLaren brand. However, as per a recent report from Automobilwoche, even BMW was eyeing to acquire a part of the McLaren. The Bavarian brand was planning to acquire the supercar division of the McLaren, while Audi planned to take over the F1 arm of the company. In another revelation, it has been confirmed that BMW is not up for grabbing any part of the McLaren currently. Audi, on the other hand, quoted “it routinely considers various ideas for cooperation” as part of its “strategic deliberations.”

Audi’s intentions to grab McLaren at this point of time could turn out to be a gold-fetching one. From next year onwards, F1 will introduce budget caps and engine development stops, which will certainly help both the carmaker in closing the deal. Audi can use McLaren’s existing race car with the Audi Power engine for future races, bringing the collaboration with Mercedes-AMG to an end, which is the present engine supplier for the Woking, England-based supercar brand.

Update: McLaren has officially confirmed that it is not intending to sell any prospect of its business. In a statement to a media outlet, it said:

“McLaren Group is aware of a news media report stating it has been sold to Audi. This is wholly inaccurate and McLaren is seeking to have the story removed.”

“McLaren’s technology strategy has always involved ongoing discussions and collaboration with relevant partners and suppliers, including other carmakers, however, there has been no change in the ownership structure of the McLaren Group.”

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