McLaren on track for float if it can bounce back from the virus slump

Sep 23, 2020

McLaren still on track for stock market listing: Supercar maker says it needs to bounce back from the virus slump

Supercar maker McLaren is mulling plans to float on the stock market in 2022 if business can bounce back from the coronavirus slump.

Mike Flewitt, boss of McLaren Automotive since 2013, said going public could be the best way for long-term investors to exit the business. 

This includes McLaren’s majority backers Mumtalakat, Bahrain’s sovereign wealth fund, and Mansour Ojjeh, the French-Saudi owner of the TAG racing team.

McLaren launched a new car this summer, the 765LT (pictured), which is priced from £280,000

McLaren launched a new car this summer, the 765LT (pictured), which is priced from £280,000

Flewitt told the Evening Standard: ‘We need to get back to 2019 levels but then we could consider it.

‘Our shareholders are investors because they love the business but also because it’s a good financial investment. A float could be a partial offering for them to realise those gains.’

Revenues at the Surrey firm rose 11 per cent to £1.2billion and it made around £130million profit last year.

It sold 4,662 cars, down from 4,806 in 2018. But during the Covid crisis it has had to let go 670 members of staff, or about 25 per cent of its workforce, and has tapped the National Bank of Bahrain for £150million.

The company launched a new car this summer, the McLaren 765LT, which is priced from £280,000.

Flewitt said the company had ‘a bit of a journey’ to get back to 2019 levels, adding: ‘If I’m optimistic it’s 2022, worst case 2023 perhaps. This will have knocked us back for a couple of years.’

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