EU approves MotoGP takeover by F1 owner Liberty Media / Photo: LLUIS GENE - AFP
EU approves MotoGP takeover by F1 owner Liberty Media
The acquisition of MotoGP by Liberty Media, the American group that owns Formula One, received the green light from The European Commission on Monday.
Liberty and the Commission both released statements saying the deal had received "unconditional approval".
"The deal is now expected to close no later than July 3, 2025, opening the door to a new era for the sport," said MotoGP on its web site.
Liberty had agreed to buy the motor-cycle grand prix competition from Dorna Sports in April 2024, but the European Commission opened an investigation to determine whether the merger violated competition rules.
Colorado-based Liberty said it would acquire 84 percent of MotoGP with Dorna, a Madrid-based company, retaining 16 per cent in a deal that valued the company at 4.3 billion euros ($5 billion).
The Commission had been concerned "that the transaction could lead to an increase in licensing prices for broadcasting rights to motorsports events."
On Monday the Commission said it was satisfied that, in the European national markets it investigated, "the companies are not close competitors for the licensing of broadcasting rights for sports content."
The Commission also looked at Liberty Media's relationship with parent company Liberty Global, a leading cable operator in several European countries.
The statement said there was "insufficient evidence that Mr. John Malone, Liberty Media's largest shareholder, could exercise decisive influence over Liberty Global."
"We are thrilled," said Derek Chang, Liberty Media President and Chief Executive Officer, in the company statement.
"MotoGP is a highly attractive premium sports asset with incredible racing, a passionate fanbase and a strong cash flow profile. We believe the sport and brand have significant growth potential."
Since Liberty took control of F1 in 2017, it has implemented an expansion strategy, particularly in the United States, making spectacle its main focus.
With the help of the long-running Netflix series "Drive to Survive," the group has attracted a younger, more female audience.
"MotoGP is one of the most thrilling sports on earth, and we look forward to accelerating the sport's growth and expanding its reach to even more fans around the world," said Dorna chief executive Carmelo Ezpeleta in the Liberty statement.
As part of the deal Ezpeleta, CEO since 1998, and his team will continue to run MotoGP.
"Liberty is the best possible partner for our sport and the entire MotoGP community, and we are excited to create even greater value for our fans, commercial partners and everyone competing," he said.
U.Mylonas--AN-GR
