McLaren to build SUVs and sedans for first time under CYVN Holdings’ turnaround strategy.
Abu Dhabi’s CYVN will merge McLaren with EV startup Forseven, appointing new executive leadership.
The strategic pivot aligns McLaren with rivals like Ferrari and Porsche targeting luxury SUV demand.
McLaren Automotive Ltd. is preparing to produce luxury SUVs and sedans for the first time, despite saying a few years back that it would never do such a thing – never say never… Under new ownership by Abu Dhabi’s CYVN Holdings LLC, Macca will follow in Aston Martin, Lamborghini, and Ferrari’s footsteps as part of a broader turnaround effort to revive the British supercar manufacturer after years of financial strain.
According to people familiar with the matter, CYVN, which assumed control of McLaren in December, plans to merge the carmaker with Forseven Holdings, a UK-based electric vehicle startup. McLaren will continue manufacturing supercars, but the company’s expanded lineup will include new vehicle categories targeting broader market segments.
McLaren has faced persistent losses in recent years, compounded by delays in launching its Artura model and recurring capital requirements. The company sold vehicles from its heritage fleet, divested its technology subsidiary, and entered into a sale-leaseback agreement for its Woking headquarters to raise funds.
The decision to introduce SUVs represents a departure from McLaren’s previous strategy. Under former CEO Mike Flewitt, the company had dismissed the idea of producing larger vehicles. In a 2018 interview, Flewitt stated the market had “more than enough SUVs.” That stance shifted last year when current CEO Leiters confirmed SUV development plans.
Forseven, described as a British luxury car startup, has not disclosed vehicle details or production timelines. The company recently entered into a technology licensing agreement with Chinese EV maker Nio Inc., which also counts CYVN as an investor.
In addition to acquiring McLaren’s automotive operations from Bahrain’s Mumtalakat Holding Co., CYVN has purchased a minority stake in the McLaren Formula 1 team.
