Ron Dennis out at McLaren

Why is this man smiling today?

Ron Dennis has stepped down as CEO and chairman of the McLaren Group, ending a 35-year tenure with the British marque.

Dennis, 69, took the reins at McLaren in 1981, leading the team to championships with drivers such as Alain Prost, Ayrton Senna, Mika Hakkinen and Lewis Hamilton before handing day-to-day management of the Formula 1 operation over to Martin Whitmarsh in 2009.

Dennis re-took control of McLaren in 2013, ousting Whitmarsh after a lackluster performance on-track that year, but reports in recent months suggested that the Briton's contract would not be renewed at the end of the season.

On Tuesday, McLaren issued a statement confirming Dennis had stepped down from his role after being placed on gardening leave by the company's board.

"Ron Dennis confirms that he has today been required to relinquish his duties as Chairman and Chief Executive of McLaren Technology Group (MTG), having led and grown the business and been its creative force for more than 35 years," the statement reads.

"This follows a decision by the majority shareholders to place him on gardening leave. Dennis remains on the Boards of both MTG and McLaren Automotive Limited and a significant shareholder in both companies. He intends to honor his commitments to the group before launching a new technology investment fund later in 2017."

Dennis expressed his disappointment at the decision by McLaren's shareholders, hinting at the rift that had grown in recent times in the boardroom.

"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," Dennis said.

"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 £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 capitalize on my expertise, my financial resources, together with external investment to pursue the many commercial opportunities l have been offered in recent years but have been unable to take up while being so committed to the existing business."