Cvc Sells Significant F1 Stake
Formula One’s controlling shareholder, CVC Capital Partners, has sold a 21% stake in the sport, cutting its holding to 42%. The stake in the company equates to US$1.6 billion (£1.02bn), ahead of its planned initial public offering (IPO) on the Singapore Stock Exchange.
The announcement sees global investment manager BlackRock, asset manager Waddell & Reed and Norway’s Norges Bank come on board during the pre-marketing phase of the IPO.
F1 may float on the Singapore stock exchange next month, and the CVC sale effectively values it at about £5bn.
CVC partner Donald Mackenzie said: ‘This is great news for Formula 1 and an important step in its development.’
‘CVC became the controlling shareholder of Formula 1 in 2006. Since that date we have supported the company and its management as they have grown the company with great success.’
‘The addition of these three highly regarded investors to our share register is validation of this success, and we look forward to working with our new partners over the coming years.’
Formula 1’s revenues are expected to hit around £1.2bn this year, earned from fees paid by circuits to host races, TV income, and corporate hospitality.
