PARIS, FRANCE: Renault Group and Alpine have announced a significant investment of €200 million from Otro Capital, RedBird Capital Partners, and Maximum Effort Investments, collectively known as the “Investor Group.”
This investment will grant the Investor Group a 24% equity stake in Alpine Racing Ltd, the renowned Formula 1 team representing Alpine’s F1 activities and based in Enstone, UK.
The transaction values Alpine Racing Ltd at approximately $900 million, a testament to its strong performance in the 2022 F1 World Championship where it finished in the top four.
The infusion of capital will accelerate Alpine’s growth plans and further its sporting ambitions in Formula 1. With the expertise and track record of the Investor Group, which encompasses various areas of the sports industry such as media, sponsorship, ticketing, hospitality, commercial rights management, licensing, and merchandising strategies, Alpine F1 team is poised to unlock incremental value creation and explore new avenues for growth. The Investor Group has a proven history of successful company-building with renowned partners such as the Dallas Cowboys, Fenway Sports Group, the NFL, Toulouse FC, and Wrexham AFC. Additionally, Alpine F1 team will leverage the Investor Group’s proficiency in data and technology, essential elements for marketing and commercial performance.
As part of the agreement, Alec Scheiner, Co-Founder and Partner of Otro Capital, will join the Board of Directors of Alpine Racing Ltd, further strengthening the team’s leadership.
Renault Group CEO Luca de Meo expressed the strategic importance of Formula 1 and Alpine to the company, stating, “Over the past two years, we have re-ignited Alpine, capitalizing on its iconic A110 sports coupé, boosting it by entering Formula 1, where it aims to become a championship contender. This partnership will accelerate Alpine F1 development by diversifying revenue drivers and increasing brand value.”
Laurent Rossi, CEO of Alpine, highlighted the significance of the association and its potential to enhance performance across all levels. He emphasized the value of the Investor Group’s expertise in media and marketing strategy, which will support Alpine’s long-term sporting performance. The incremental revenue generated through this collaboration will be reinvested in the team, further propelling Alpine’s ambitious “Mountain Climber” plan to catch up with top teams in terms of cutting-edge facilities and equipment.
Alec Scheiner of Otro Capital expressed excitement about the investment in Alpine F1, expressing confidence in the company’s management, brand value, and the future trajectory of the sport. He stated, “We believe that, along with our partners RedBird and Maximum Effort Investments, we can add value to Alpine’s business operations and brand building, especially in North America.”
James Toney, Co-Founder of Maximum Effort Investments, emphasized the power of storytelling and the untapped potential in Alpine Racing. Toney expressed gratitude to the partners at Otro Capital and RedBird Capital Partners and looked forward to working with them, as well as co-investors Michael B. Jordan and Rob McElhenney, to shed light on the remarkable Alpine F1 team.
The investment from Otro and RedBird includes participation from the Huntsman Family and Main Street Advisors, further solidifying the support for Alpine’s future endeavors. The partnership between the Investor Group and Alpine Racing Ltd sets the stage for an exciting chapter in the team’s journey and paves the way for continued success in the world of Formula 1.
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