The FIA approve sale of commercial rights of Formula One to Liberty Media
By: S. Harding, Xiro Xone News January 18, 2017 Updated: 5:11 PM
The FIA Formula One’s governing body has approved the sale of the sport's commercial rights to Liberty Media.
The FIA's approval was the final step before the sale, where Liberty Media will take over from investment group CVC Capital.
A statement from the FIA said:
“The transaction will see the transfer of 100% of the shares in Delta Topco to Liberty Media Group, one of the tracking stocks of Liberty Media Corporation.
“During the meeting, the representatives of the prospective new owner made a detailed presentation of their strategy. The members of the World Motor Sport Council then had the opportunity to ask questions about the specifics of the agreement, the ongoing working relationship with the FIA and Liberty’s plans for the sport.
“Liberty, Formula One Group and the FIA intend to collaborate to create a constructive relationship that will ensure the continued success and the development of the FIA Formula One World Championship in the long term.
“The World Motor Sport Council’s decision confirms the FIA’s belief that Liberty, as a renowned media organisation with expertise in both sport and entertainment, is clearly well positioned to ensure the continued development of its pinnacle Championship.
“The FIA holds a one per cent shareholding in Delta Topco. As part of the sale by CVC to Liberty Media Corporation, and in line with the agreements between the FIA and the Formula One Group, the FIA will be dragged along in the sale process under the same conditions as CVC and all the other shareholders.
“The FIA looks forward to working with the new owners of the Formula One Group on further developing the unrivalled global spectacle that is the FIA Formula One World Championship for all stakeholders.”
On Tuesday, stockholders meet in Englewood, Colorado, approved a proposal on issuing of shares to finalize the deal, which was announced in September, which they also approved the renaming of Liberty's media group to “Liberty Formula One Group.”
Members of the WMSC (World Motorsport Council) said F1's prospective new owners as "clearly well positioned to ensure the continued development" of F1.
Liberty Media hopes to bring new ideas to the sport as well as improve on existing ones, such as an additional race in the United States as well as promotion and expanding digital media coverage.