New Delhi, April 01, 2024: Liberty Media, which already owns the sports car racing league Formula One (F1), signed a deal on Monday, April 1, with Dorna, the owners of MotoGP, to acquire the most reputed motorcycle racing championship for $4.5 billion according to the reports published in business-standard.com.
Is Liberty the First Company to Hold Both MotoGP and F1 in Its Portfolio?
Private equity firm CVC Capital Partners, which owns the Gujarat Titans in the Indian Premier League (IPL), had joint ownership of both the car and motorcycle racing championships until European Union regulations forced it to relinquish MotoGP and retain only F1.
What Did MotoGP Say About the Liberty Media Deal?
“Liberty Media will acquire approximately 86 per cent of Dorna, with Dorna management retaining approximately 14 per cent of their equity in the business. The transaction reflects an enterprise value for Dorna/MotoGP of 4.2 billion euros and an equity value of 3.5 billion euros, with MotoGP’s existing debt balance expected to remain in place after closing,” stated the official press release by MotoGP about this deal.
Which Other Companies Were Interested in Buying MotoGP?
Qatar Sports Investments, which owns the Paris Saint Germain (PSG) football team in Ligue 1, along with TKO Holdings, which owns the Ultimate Fighting Championship (UFC) and World Wrestling Entertainment (WWE), were also interested in buying MotoGP. However, Liberty Media secured the deal.
What Did Liberty Media Say About the MotoGP Deal?
“We are thrilled to expand our portfolio of leading live sports and entertainment assets with the acquisition of MotoGP,” said Greg Maffei, President and Chief Executive Officer of Liberty Media.
They further revealed that the current Chief Executive Officer of the Grand Prix, Carmelo Ezpeleta, will remain in his position. He joined MotoGP in 1994 and has been the CEO since then. The headquarters of MotoGP will also continue to be located in Madrid.
