Home Business NewsBusiness Zip zap zoom: $8.5bn Formula 1 sale set to race ahead

Zip zap zoom: $8.5bn Formula 1 sale set to race ahead

5th Sep 16 9:34 am

F1 boss Bernie Ecclestone has reportedly approved a sale

Formula 1 is set to be sold to Liberty Media, the owner of Virgin Media, in an $8.5bn (£6.5bn) deal.

Sources told German magazine Auto Motor und Sport that John Malone, owner of Liberty Media, is expected to make the first of two payments on Tuesday.

Liberty Media will list F1 on the Nasdaq Exchange in New York if the deal goes ahead, various media reports have suggested.

Liberty Media takeover of the motor racing giant is expected to take place in two stages. The first stage would involve the acquisition of a minority stake and would not be subject to regulatory conditions while the second tranche will see Liberty acquiring the majority of the company subject to the approval of certain regulators.

The investment banks Goldman Sachs and Morgan Stanley, and the law firm Freshfields Bruckhaus Deringer, are quietly working on the Liberty Media Corp-F1 deal.

Last night it emerged that Chase Carey, the executive vice-chairman of 21st Century Fox, would become chairman of F1.

CVC partners, which owns a 35% stake in F1, will exit the racing firm aftet the deal.

A lot of bidders considered snapping up F1 including Qatar Sports Investments, which owns Paris St-Germain football club; and Stephen Ross, owner of the Miami Dolphins American football team.

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