McLaren confirms talks with Apple

McLaren has confirmed it held talks with Apple earlier this year following speculation that the technology giant had made an approach to invest in or buy the group.

Speaking to Reuters, boss Mike Flewitt said Apple had visited the Woking-based automotive company, but that a takeover bid was never placed.

"They visited. We talked. We talked about what they did. We talked about what we did," he said. "It never matured to a definitive proposition."

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Flewitt says the company has received "a number of bids" to acquire the company, but ultimately shareholders wish to retain control and develop the group.

In September, McLaren quashed rumours surrounding discussions with Apple, saying it was not holding talks for a potential buy-out.

McLaren's automotive division has grown rapidly since its first mass-production car, the MP4-12C, was launched in 2011. This may have been what initially attracted Apple, which is allegedly producing its own car to compete with Elon Musk's all-electric firm Tesla, although the fate of Apple car project is uncertain.

The news follows the departure of McLaren Group chief executive Ron Dennis after 35 years with the company.

Dennis, a well-known personality in the automotive industry, led the firm's F1 team to 17 world championships and managed some of the series' most iconic heroes, including Ayrton Senna and Alain Prost.

Apple 'in talks' to buy McLaren for up to £1.5bn

22 September

Apple is "in talks" with McLaren, the British supercar brand that runs the eponymous Formula 1 racing team, over a potential takeover, according to the Financial Times.

Three people said to have been "briefed on the negotiations" revealed that talks began "several months ago". Both a full or partial takeover are being considered.

The unnamed sources said that the deal, if it goes ahead, would value the loss-making McLaren at £1bn to £1.5bn. This would make the takeover the biggest deal for Apple since it bought the headphone maker Beats Electronics for $3bn (£2.3bn) in 2014.

After the FT article was published, a spokesman for McLaren issued a statement saying that the company was not "in discussion with Apple in respect of any potential investment".

However, the spokesman told the BBC the company "regularly [has] confidential conversations with a wide range of parties". The FT noted McLaren's denial but also that the firm "did not say whether it had been approached".

But why would the world's largest tech company, known for its smartphones and computers, be interested in what the BBC's Theo Leggett describes as "a relatively small [car] business based in Woking"?

The answer is simple, he says. It's "an open secret" in Silicon Valley that Apple is developing a car and that the technology giant has "ambitions to become a leader in the market for driverless vehicles".

Apple may therefore be interested in the technology side of McLaren's business, which is a market leader in analytics relating to traffic flow, advanced chassis materials and vehicle simulators.

Ben Bajarin, an analyst at Creative Strategies, said: "The things McLaren are investing in aligns with what Apple is interested in holistically… it is clear that new materials, new manufacturing processes and new techniques across the board are a huge part of Apple's strategy."

McLaren Technology, the holding company for the group, reported revenues of £265m and pre-tax losses of £22.6m in 2014 when its accounts were last published.