Kosport Magazine: Liberty Media set to acquire Dorna Sports, securing rights to MotoGP, WorldSBK, and MotoE Championships
Exciting news for motorsport fans as Liberty Media, the parent company of Formula 1, is set to acquire Dorna Sports, the promoter of MotoGP, WorldSBK, and MotoE World Championships. The deal is expected to be announced in the coming days, just in time for the third round of the 2024 MotoGP season at the Americas Grand Prix on April 12-14.
According to sources, the deal has been in the works for weeks and was finalized by executives from both Liberty and Dorna Sports. Originally, the plan was to make the announcement before the first grand prix of the year in Qatar, but concerns about competition regulations delayed the process.
But now, it seems that all hurdles have been cleared and the Financial Times has reported that the takeover is a done deal. However, it is expected that the European Commission, which regulates competition in the market, will still analyze the case.
This is not the first time that a Luxembourg-based investment fund has owned both F1 and MotoGP. In 2006, CVC Capital Partners was forced to divest one of the series due to antitrust regulations, resulting in the sale of MotoGP.
While Liberty has always been the preferred bidder for Dorna executives, there were also offers from Qatar Sports Investments and TKO, the media and entertainment conglomerate that owns the rights to the UFC Championship.
The sale of Dorna has been a top priority for Bridgepoint and the Canadian pension fund (CPPIB) in the last year. Bridgepoint, which became a shareholder in 2006, owns 40% of the shares while CPPIB manages 38%. The remaining 22% is shared between Dorna CEO Carmelo Ezpeleta and a small group of managers.
In 2022, Dorna Sports generated a turnover of €474.8 million, a 33% increase from the previous year. However, due to the impact of the pandemic, the company ended the year with a loss of €7.8 million. But with a recent refinancing of €975 million in debt, Dorna was able to strengthen its liquidity and distribute dividends worth €390 million to its shareholders.
With the success of their entry into F1, Liberty is now looking to replicate that success with MotoGP. The change in model that they applied to Formula 1 has led to a surge in popularity and profits, thanks in part to the Netflix documentary series, Drive to Survive.
As the race calendar continues to expand, with 24 races scheduled for 2024, profits are expected to soar even higher. And with the acquisition of Dorna, Liberty is poised to take MotoGP to new heights.
Kosport Magazine: Liberty Media’s acquisition of Dorna Sports expected to revolutionize MotoGP
The motorsport world is abuzz with the news of Liberty Media’s acquisition of Dorna Sports, the promoter of MotoGP, WorldSBK, and MotoE World Championships. This deal is set to revolutionize the sport and take it to new heights.
With Liberty’s successful entry into Formula 1, fans can expect to see a similar transformation in MotoGP. The company’s change in model has led to a surge in popularity and profits, and with the continued expansion of the race calendar, the future looks bright for MotoGP.
But this acquisition is not just about profits. It’s also about the potential for globalizing the sport and reaching new audiences. With the success of the Netflix documentary series, Drive to Survive, Formula 1 was able to break into new markets and attract a wider fan base. And now, with the acquisition of Dorna, MotoGP has the same opportunity.
Fans can expect to see a new level of excitement and competition in the sport, as well as potential changes in the way it is broadcasted and marketed. With Liberty’s track record in F1, the possibilities are endless.
So buckle up, MotoGP fans, because the future of the sport is looking brighter than ever before. And with Liberty Media at the helm, we can expect nothing less than a thrilling ride.
