Liberty Media has announced plans to sell $825 million worth of F1 shares to “partially fund” its planned takeover of MotoGP.
In April, Liberty agreed to acquire 86% of MotoGP rights holder Dorna Sports SL, valuing the sport at $4.2 billion.
“The acquisition is expected to close by the end of 2024 and is subject to approvals and clearances from antitrust and foreign investment authorities in various jurisdictions,” said Greg Maffei, President and CEO of Liberty Media, at the time.
Announcing the sale of over 10 million F1 shares this week, Liberty confirmed that it remains on track to complete the MotoGP takeover by the end of the year.
“Liberty Media expects to use the net proceeds from the sale of shares in this offering (i) to fund the increase in the aggregate cash consideration for the (MotoGP) acquisition, which is expected to be completed by the end of 2024, and (ii) for general corporate purposes, including the repayment of indebtedness.”
The 10,650,000 shares of Series C Liberty Formula One Common Stock have a public offering price of $77.50 each. Liberty Media also granted… “an option to purchase up to an additional 1,597,500 shares.”
“The offering … is expected to generate gross proceeds to Liberty Media of approximately $825,375,000,” the statement continued.
