Liberty Media announced it agreed to buy Formula One, the iconic global motorsports business, from a consortium of sellers led by CVC. The transaction price represents an equity value of USD4.4 billion.
Liberty Media will initially acquire 18.7% minority stake before completing a full takeover. According to The Wall Street Journal, CVC Capital Partners, a London-based private-equity firm, bought majority control of Formula One in 2006.
In a statement, Liberty Media said that Chase Carey, the former chief operating officer at 21st Century Fox Inc., will serve as chairman of Formula One, while Bernie Ecclestone will remain Formula One’s CEO. Formula One is a global business that markets lucrative television rights and sponsorships.
Liberty Media Corporation is an American company controlled by Chairman John C. Malone that owns interests in a broad range of media, communications and entertainment businesses. Malone also owns Liberty Global, one of the world’s largest international TV and broadband company. Liberty Global owns in Latin America the Chilean MSO VTR, pay TV operator Liberty Cablevisión in Puerto Rico and Cable & Wireless company in the Caribbean.