Aston Martin F1 valued at $1bln after minority stake sale

Aston Martin F1 has announced that it has entered into an agreement with American private equity firm Arctos Partners to sell a minority stake in the F1 outfit to the latter at a $1 billion valuation.

As part of its partnership with Aston Martin F1, Arctos will provide the team with deep sports industry knowledge, and a robust network of influential relationships to support its continued growth.

Arctos’ investment in AMR Holdings GP Limited – the entity that owns the F1 team – is expected to close by year end.

Founded in 2020 and based in Greenwich, Connecticut, Arctos focuses on investing in sports and entertainment franchises as well as other businesses.

Its high-profile investments include the NBA's Golden State Warriors and the NHL's Tampa Bay Lightning.

Aston Martin says that Arctos will bring “strategic strength, deep sports connections and key learnings at a time when the Silverstone-based team is undergoing rapid progress in Formula One.”

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Aston Martin F1 did not detail whether Arctos had acquired shares from one or more existing shareholders or if its investment represented a fresh influx of cash. The former is assumed however, with the Financial Times valuing the F1 team at $1 billion.

“I am delighted to welcome Arctos Partners as a new partner and minority shareholder in the Aston Martin Formula 1 Team,” commented the team’s executive chairman Lawrence Stroll.

“As investors in several leading sports franchises, Arctos brings deep industry knowledge, and I am thrilled that Aston Martin will be joining such a prestigious portfolio.

“The team has enjoyed tremendous success this season with eight podium finishes and our biggest points haul as a team, but our collective ambition is greater.

“Arctos see the potential and value of this project as we continue to build a world-class Formula 1 team.

“They share our vision for our ultra-luxury brand, and they are extremely passionate about the sport and its prospects.

“We are investing in infrastructure, people and processes, and this is the perfect time to add strength in depth with the operational expertise and strategic experience of Arctos.

“Together, we will continue to drive this team forward and build an even brighter and successful future.”

There has been recent speculation regarding the involvement of Stroll’s investment group in Aston Martin F1, with rumors alleging that the Canadian billionaire and his associates were exploring a sale of their holding in the team.

But comments from Arctos co-founder and managing partner Doc O’Connor appear to put that speculation to rest.

“We look forward to collaborating with Aston Martin and view the opportunity as the beginning of a long-term partnership with Lawrence and the entire organization,” O’Connor said.

“This investment is consistent with our firm’s strategy, which focuses on backing leading sports brands across North America and Europe.

“We will provide extensive resources to enhance [the team’s] reach and brand, including industry intelligence sourced from our proprietary quantitative research and data science platform.”

Earlier this year, Alpine sold a 24% stake in its F1 team to a consortium of investors that included Hollywood actor and Wrexham AFC owner Ryan Reynolds along with his partner Rob McElhenney.

That investment valued the Enstone squad at approximately $900 million.

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