In a landmark deal, British supercar manufacturer McLaren Automotive has been acquired by CYVN Holdings, an Abu Dhabi-based investment fund managed by the trillion-dollar Abu Dhabi Investment Authority. This move, overseen by UAE Crown Prince Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, signals a new chapter for McLaren as it transitions from Bahraini ownership under Mumtalakat Holding Company. The acquisition is part of Abu Dhabi’s broader strategy to diversify its economic portfolio and establish itself as a global leader in mobility technology. CYVN Holdings, already involved in transformative investments such as China’s electric vehicle giant Nio, aims to fuse McLaren’s storied heritage with cutting-edge advancements in engineering and electrification.  

The sale comes on the heels of McLaren Automotive and the entities significant financial struggles, which saw record losses of £924 million in 2023—up from £349 million the previous year. Sales plummeted by nearly a third, with supply chain disruptions and heightened quality control measures exacerbating the challenges. The company has struggled to sustain profitability despite numerous bailouts from Mumtalakat, which included emergency cash injections, sale-and-leaseback arrangements for McLaren’s Woking headquarters, and partial sales of its iconic heritage car collection. The mounting pressure on Mumtalakat prompted them to seek a buyer earlier this year, culminating in this acquisition.  

The UAE’s sovereign wealth fund acquisition reflects Abu Dhabi’s strategic pivot from reliance on oil and gas revenues to innovative industries, including high-performance mobility. CYVN Holdings has expressed a commitment to redefining McLaren’s future with a focus on advanced engineering and electric vehicle development. While Mumtalakat retains control of McLaren’s renowned racing division, CYVN’s minority stake opens avenues for collaborative growth. This pivotal deal not only secures McLaren’s immediate financial future but also positions it to compete in the rapidly evolving automotive landscape, particularly as the company races toward developing its first fully electric supercar.