Ron Dennis has been forced to step down from his position as Chairman and CEO of McLaren Technology Group following a boardroom coup.
Dennis and Mansour Ojjeh, through TAG Group, have been business partners since 1980s when the duo spearheaded McLaren to an era of domination in Formula 1.
However, the two have fallen out recently, with Ojjeh having taken support of fellow shareholders Bahrain royal family to oust Dennis.
The Englishman, who has a 25% shareholding in the McLaren Group and a further 11% in McLaren Automotive, strongly refuted allegations of mismanagement amid downfall in McLaren’s F1 results, saying the reasons for his departure were "spurious".
He will continue to remain as a shareholder and has vowed to open a new technology fund after his contract expires at the end of the year.
"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 at the management team about the potential consequences of their actions on the business," Dennis said in a statement.
"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 1 world championships and grown into an £850 million a year business.
"Throughout that time I have worked closely with a series of talented colleagues to keep McLaren at the cutting edge of technology, to whom I will always be extremely grateful.
"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. But 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.
"In addition I intend to launch a new technology investment fund once my contractual commitments with McLaren expire.
"This will capitalise on my expertise, my financial resources, together with external investment to pursue the many commercial opportunities I have been altered in recent years but have been unable to take up while being so committed to the existing business."
by Rachit Thukral