Liberty Media is officially in the F1 driver’s seat. The company run by president and CEO Greg Maffei has completed its $4.4B acquisition of the global motorsports business, whose parent company is Delta Topco, and Formula 1 has tapped former Fox exec Chase Carey as its chief executive. He replaces Bernie Ecclestone, who segues to the role Chairman Emeritus of F1 after more than four decades in the sport.
With the deal done, Liberty Media Group will be renamed the Formula One Group as early as this week. F1 will remain based in London, and Maffei will be Deputy Chair of the board.
Here are the terms of the deal: Liberty Media’s acquisition of 100% of the shares of F1 comprised $3.05B in cash, about 56 million newly issued Series C shares of LMCK tracking stock and a $351M exchangeable debt instrument to be issued by F1 and exchangeable into shares of LMCK. The transaction price pegs F1, which launched in 1950, with an equity value of $4.4B.
“We are delighted to have completed the acquisition of F1 and that Chase will lead this business as CEO,” Maffei said in a statement. There is an enormous opportunity to grow the sport, and we have every confidence that Chase, with his abilities and experience, is the right person to achieve this.”
Said Chase: “F1 has huge potential with multiple untapped opportunities. I have enjoyed hearing from the fans, teams, FIA, promoters and sponsors on their ideas and hopes for the sport. We will work with all of these partners to enhance the racing experience and add new dimensions to the sport and we look forward to sharing these plans overtime.”