Friday 14th January 2005

Caterham Sold!

Another British Manufacturer changes hands

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Caterham has changed hands. Ex-Lotus General Manager, Ansar Ali has led a management 'buy in' with backing from Corven Ventures, the private equity arm of the consulting and corporate finance firm Corven Group.

The company has changed hands but the price paid remains undisclosed.

The new team will bring sector experience to complement the existing Caterham management. Ansar Ali will be Managing Director with Gideon Wigger, another ex Lotus manager, as Operations Director. David Obertelli will be Finance Director and James Basden (founding Director of Corven) and Mark Edwards (Director of Corven Ventures), both of whom have extensive automotive experience, will join the board as Non-Executive Chairman and Non-Executive Director respectively.

Outgoing Caterham Cars Managing Director, Simon Nearn, will continue to assist the new management team on a consultancy basis.

The new company hasn't disclosed its plans yet but has promised to "drive the brand forwards". It's a difficult task they have ahead. The company has been known for its conservatism to date - reluctant to change the formula that has brought them success for several decades.

Ansar Ali commented, "This is a unique opportunity and one that places on me a responsibility to ensure that we remain true custodians of the Caterham legend and brand. I am looking forward to the challenge of harnessing the inherent capabilities of the business - its employees, suppliers and partners - in order to continue to deliver sector leading products, outstanding customer value and financial returns to our shareholders and partners."

Simon Nearn commented, "For a number of years we have been seeking inward investment to support the ever spiralling cost of new product development. I am delighted to announce the conclusion of this process, which sees the arrival of a highly experienced new management team, backed by a level of financial commitment that will ultimately enable the Caterham Brand to realise its full potential.

"Caterham Cars has until now been a strictly family business and although it has grown significantly in recent years, a shared sense of purpose and an infectious enthusiasm for the product has driven us as a team. Ansar and his colleagues not only recognise this dedication, but also share our enthusiasm for the Seven. They are ideally placed to begin the next chapter in the Caterham story."

[minimevsrevs]

crikey, let hope they dont change too much adn stick to the evolution logic rather than pioneering.

[flasheegee]

An Ex Lotus Manager!-hmm,better in British as in
Russian Hands.

[Paul.B]

A cautious welcome I think. We know they have been trying to move the conpany forward.
It must be damned difficult when your only product is by and large a blast from the past? (That is in no way a critical remark) I have always loved Caterhams. Just never fitted in one. Lets hope they can re-invent the brand and launch a new, focused and properly developed car. Maybe something along the Elise type of sports car? Or is that too obvious?


Best of luck.

Paul.B

[ultimasimon]

Paul.B said:

A cautious welcome I think. We know they have been trying to move the conpany forward. It must be damned difficult when your only product is by and large a blast from the past? (That is in no way a critical remark) I have always loved Caterhams. Just never fitted in one. Lets hope they can re-invent the brand and launch a new, focused and properly developed car. Maybe something along the Elise type of sports car? Or is that too obvious? Best of luck. Paul.B

Hi Paul.

It should be interesting to see as to what transpires now that there is synergy with all those famous faces under one roof.

In business, if a line is succesful some may say don't change the formula. In the famous '7' shape just about all versions have been tried from twin bike to monster V8.

I think your theory of an Elise styled like model would certainly be well accepted to run along side current production, but will they build it ?

Interesting news and all kept very quiet until now.

[groomi]

Paul.B said:

Lets hope they can re-invent the brand and launch a new, focused and properly developed car. Maybe something along the Elise type of sports car? Or is that too obvious? Best of luck. Paul.B

That's exactly what the 21 was supposed to be... then they saw the Lotus

Would be great if they could do it, but they'll never have the resources of Lotus, let alone a 'proper' manufacturer.

[CrazyDave]

Thank goodness it stays British. If they do try to develop new models they can't do much worse than the 21 can they?

[cathalm]

There was a documentary following them a while back, looking at the development of a new car. There were edsigns done for an elise style car but they decided that it would be crazy to try to take on the lotus brand, especially as the elise is so good. The car ended up as the new CSR, intended to be the next step in the sevens development. So if they build a totally new car, I doubt if they'll aim at the elise, hmmmm, it's a difficult one.

[jig]

Wow, didn't see that one coming!

Well, the new team certainly know their business... good luck to them. Personally, I think it'd be madness to try and compete with the Elise, the market is too competitive and the costs too high. They have two choices as I see it: higher value stuff to compete with TVR and Noble (more margin to play with) and more track focussed cars to go against Radical and all the other new track cars that are proliferating.

Anyway, we'll have to wait and see, good luck chaps!

[b10]

They could go cheaper and do atractive car similar in concept to the Lotus 7 mk4 (but not styling), ie composite monocoque and small engine and basic - but fast and nimble. In otherwords an affordable more Caterham.

[chickensoup]

The Elise has hardly dominated the UK 2 seater market. It is simply a better car in 1996 than the 21 was. Since then Caterham has IMHO lost its "own" niche to the likes of radical and arial.

I remember looking at both the 21 & Elise at the London motor show. I still have the Elise; the Caterham was not far off the mark, but wind up windows and a soft top of at least S1 elise quality ARE necessary in any road car costing "proper" money (£15K must be about TF money).

Hope something happens soon

[spenny_b]

[redacted]

[Nero5]

wish they would also take over vemac and combine the two. New product line solved with a 35,000 pound Caterham 320

[grahamw48]

[redacted]

[Skyedriver]

As a Caterham owner of some years and some years ago..I find this interesting and a difficult problem.
Caterham as a cheap sports car disappeared years ago with the cheap replicas, as a high powered road car, with Westfield RRadical Ariel and a million more usable missile, Noble etc. Caterham in a TV prog a few years ago were reluctant to change a then winning formula (like Morgan I suppose) but are slowly being outgunned and dare I say it, coming to the end of the line in their present form. Maybe the Nearne family could see the writing on the wall and got out with their wallets in one piece.
Good luck to the new owners but I agree wit previous coments th 21wasa pretty car but not as good as its competitors, the S4 7 was simply an ugly cheap attempt at keeping in the lower cost bracket and no one liked it (well very few anyway, even if it was actually slightly more practical than the S3 etc..
Tony H

[Eric Mc]

Actually, the Series 4 was selling at a much faster rate than any previous Seven at the time Lotus axed it. It was axed, not because it was commercially unsuccesful, but because Colin Chapman felt it did not fit the upmarket image he wanted for the company by the 1970s. Also, the impoosition of VAT in 1973 was the last straw as far as justifying the making of kit cars for Lotus was concerened. The old Sales Tax system which preceded VAT differentiated between fully built cars and self-assembly cars - VAT did not.

Caterham would have continued making Series 4 if the component suppliers had decided not to charge them an arm and a leg for supplying small quantities.

The 4 was essentially a steel sheeted, glass fibre panelled body mounted on a backbone chassis. It was not a spaceframe.

>> Edited by Eric Mc on Monday 17th January 08:13

[rubystone]

Eric Mc said:

The 4 was essentially a steel sheeted, glass fibre panelled body mounted on a backbone chassis. It was not a spaceframe.

But God was it visualy challenged

[rev-erend]

Heck .. I'm in shock

[hendry]

Nero5 said:

wish they would also take over vemac and combine the two. New product line solved with a 35,000 pound Caterham 320

Great idea! I love the Vemac and it sounds like a hoot. Pricey though - limited appeal for an Elise rival at £35k, although of course the Elise is not far off that these days...

[grahamw48]

Eric Mc said:

The 4 was essentially a steel sheeted, glass fibre panelled body mounted on a backbone chassis. It was not a spaceframe.

Sorry Eric but you're wrong about the chassis on the series 4.

It was a spaceframe, with some extra sheet metal re-inforcing.

I can also testify to the STRENGTH of construction, after having written off the car, and emerging unscathed.

I have owned both a series 3 and a series 4 seven, as well as a Dutton B-plus kit car, which of course was heavily influenced by the series 4, but with a much cruder chassis (combination of tube and angle).

[Wacky Racer]

Bit behind the times, only just read about this today.........

Good luck to Simon though, in whatever path he chooses to go on, personally I think he has done the right thing............