Miami Dolphins Owner And Qatar Eye £5bn F1 Deal

The owner of the Miami Dolphins NFL team is reportedly joining forces with Qatar Sports Investments to buy a controlling stake in Formula One.

The deal is estimated to be worth around £5bn.

RSE Ventures is intent on acquiring over a third of Formula One (35.5%) from CVC Capital Partners, according to a report by Reuters.

Qatar Sports Investments, which also owns French football giant Paris St Germain, is believed to want to eventually take over Formula One.

Qatar is among the countries seeking a Formula One race in the world championship calendar but despite its vast wealth from oil and gas revenues has been unable to secure a slot.

Historically it has been frustrated in its efforts to stage a Grand Prix as a result of F1 chief executive Bernie Ecclestone granting Bahrain an effective veto on regional rivals.

British billionaire Mr Ecclestone runs the commercial side of Formula One and has been the face and deal maker for the sport for more than four decades.

Any deal is expected to involve Mr Ecclestone selling his stake of around 5% in F1.

A source close to the deal said it was likely that the 84-year-old Mr Ecclestone would remain involved in F1 even if he sold his stake and that this had already been discussed with him. It is not clear though what his role would be.

Qatar already boasts a sizeable presence in motorsport, notably staging the MotoGP season opener.

CVC Capital sold down its stake in Formula One back in 2012, when its 63% stake was reduced to the present 35.5%.

RSE is understood to be a few weeks away from making a formal bid for CVC’s stake and is currently not commenting on the potential deal.

However, according to Reuters, JP Morgan is working with the investors while Goldman Sachs is working with CVC.

Formula One has faced major challenges in recent years, not least rising costs, falling viewing figures and failure to attract a younger generation of fans.

There have been disputes over who governs the sport and a rethink on where to stage the races. Traditional Grand Prix venues such as Monza in Italy face the axe while new tracks in countries not previously associated with Formula One enter into the equation.