F1 boss Bernie Ecclestone’s legal battles just got nastier as the racing group and part-owners CVC have been ordered to release documents of the sale from seven years ago.
German media group Constantin Medien, a former F1 shareholder, claims that Ecclestone and German bank Bayern Landesbank undervalued the stake when it was sold to CVC. The FT reports that Constantin Medien is seeking damages of at least $171m claiming it has a “contractual right to receive a contribution from the sale of BayernLB’s stake in F1”.
CVS bought Bayern Landerbank’s stake for $820m in 2006. A year later, CVC refinanced F1, which implied a valuation of the stake of $2.8bn.
Ecclestone and F1 chief financial officer Duncan Llowarch are expected to be called as witnesses in the Constantin Medien court case, due on 28 October.
The news comes after Ecclestone was indicted by German lawmakers on alleged bribery charges last month. The racing baron vowed to clear his name from accusations for allegedly paying $44m (£29m) to a German banker, following the sale of a stake in F1 back in 2006.
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