Ron Dennis Ends 35-year McLaren Career

16 Nov 2016 | tshego

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Ron Dennis’ tenure as chairman and chief executive of the McLaren Group has come to an end after being placed on gardening leave until his current contract expires in January.

The 69-year-old quit after being told by fellow shareholders on Tuesday that he must give up his position at McLaren Group.

Dennis, however, will remain on the boards of McLaren Technology Group and McLaren Automotive and retain significant shareholdings in both companies.

Dennis owns 25% of McLaren Group, Bahrain’s Mumtalakat investment fund owns 50% and the remaining 25% is held by Dennis’ long-time business partner Mansour Ojjeh, a Saudi-born Frenchman.

He reportedly did not want to step down and failed in a High Court bid last week to prevent McLaren putting him on gardening leave.

Dennis said in a statement: “I am disappointed that the representatives of TAG and Mumtalakat, the other main shareholders in McLaren, have forced through this decision to place me on gardening leave, despite the strong warnings from the rest of the management team about the potential consequences of their actions on the business.

“The grounds they have stated are entirely spurious; my management style is the same as it has always been and is one that has enabled McLaren to become an automotive and technology group that has won 20 Formula One world championships and grown into an UK£850 million a year business.”

Dennis joined the Woking-based team in 1980, purchasing it a year later, and served as team principal between 1981 and 2009. In all he lead the team to 158 grand prix wins, ten driver’s championships and seven constructors’ titles.

However, the team’s last driver’s crown came in 2008 while 2015 campaign was the worst season in their history. The team is also yet to secure a new title sponsor to replace Vodafone, which left at the end of 2013.

He added: “My management style is the same as it has always been and is one that has enabled McLaren to become an automotive and technology group that has won 20 Formula 1 World Championships and grown into an £850m-a-year business.

“Ultimately it has become clear to me through this process that neither TAG nor Mumtalakat share my vision for McLaren and its true growth potential.

“My first concern is to the business I have built and to its 3,500 employees. I will continue to use my significant shareholding in both companies and my seats on both boards to protect the interests and value of McLaren and help shape its future.

“I intend to launch a new technology investment fund once my contractual commitments with McLaren expire.”