Formula one is worth about $8 or $9 billion, as the sport’s owner CVC confirmed it has this week sold a 21 per cent stake to new investors.

News of the sale coincided with the launch of pre-marketing ahead of one of the biggest ever sports floatations, data by the financial experts Thomson Reuters shows.

“It’s cheap compared to Facebook,” chief executive Bernie Ecclestone told reporters on Tuesday, confirming that the Singapore IPO looks set to go ahead soon “with no dramas”.

“All the things that have to happen have happened. It will be finished by the end of June,” the 81-year-old is quoted by the Telegraph.

F1′s new one-fifth owners are US managers Waddell and Reed, the powerful Blackrock and Norway’s central bank Norges.

“It’s a great way to start the IPO and lets investors know what they can expect,” said Ecclestone.

The diminutive Briton said he is keeping his 5.3 per cent stake, and staying in charge. His former wife Slavica controls another 8.5pc, the news agency Bloomberg said.

“You might as well have asked Frank Sinatra who he would appoint to replace him,” Ecclestone insisted.

CVC said in a statement that is remains F1′s biggest and controlling shareholder.

Last Sunday proved that Pastor Maldonado is no mere ‘pay driver’.

“If he was a fool, he would not be with us, no matter how much money he brings,” Sir Frank Williams is quoted by Brazil’s Globo Esporte.

Venezuelan Maldonado, whose links to the state owned oil company PDVSA and president Hugo Chavez controversially deliver many millions to Williams’ Oxfordshire based team, became F1′s fifth different winner of 2012 last weekend in Spain.

It has helped him to shake off the ‘pay driver’ insult, Williams insisting he is now a potential world champion instead.

“Without a doubt. He is very fast and makes no mistakes,” the newly 70-year-old Briton said.

Williams does, however, acknowledge that Maldonado’s money was a key factor in the decision to sign him.

“Yes, it was to some extent,” he said. “I don’t deny that. But he’s also a real driver. He fully deserves to be on the team, with or without money.

“The truth is that if you don’t have money, you don’t get to be in formula one,” added Williams.

Team shareholder Toto Wolff agrees: “If you want to race in GP2, you need a few million pounds. So, the drivers need not only to be fast and talented, but able to attract the sponsors.

“So let’s forget this thing about ‘pay drivers’,” he insisted.

Triple world champion Nelson Piquet, however, has some lingering doubts.

He ran Maldonado in his own GP2 team some years ago, and this week recalled a driver who was often “too aggressive” and made too many mistakes.

“We’re not talking about a guy who shone in his youth, like Nico Rosberg,” said the famous Brazilian, “or someone like Lewis Hamilton, who always had everything he needed thanks to Ron Dennis.

“In GP2, when you don’t stand out in your second year, you begin to be doubted. In Maldonado’s case, he only shone in his fourth year.

“Perhaps because of this he only made it to formula one as a paying driver, without having anything special, apparently. He was perceived as just a good pilot, but clearly no Alonso.

“Now he was at the right place at the right time but he still managed to beat Alonso in Spain as well as another world champion, Kimi (Raikkonen). So hats off to him.”

A Daimler shareholder has called on the German car giant to pull its works Mercedes team out of formula one.

Fund manager Ingo Speich, of the Daimler shareholder Union Investment, said at Daimler’s annual general meeting that he is disappointed Mercedes has lost ground to road car rivals Audi and BMW.

“Mercedes is no longer the measure of all things in the premium sector,” he is quoted as saying by Die Presse.

Speich referred to “a lost decade” for Daimler, and called on the company to follow BMW’s recent lead and pull out of formula one.

His speech reportedly received applause from other shareholders.

Mercedes is the biggest formula one team yet to follow the likes of Ferrari, McLaren and Red Bull in signing a new Concorde Agreement beyond 2012.

With F1 currently scheduled to arrive en masse in Bahrain next week, a crisis surrounding the possible cancellation of the island Kingdom’s race is continuing to deepen.

The teams have now denied Bernie Ecclestone’s claim that they can simply choose to skip the event.

“That would not be possible,” said a statement issued by the teams association FOTA. “Teams are unable to cancel (a) grand prix.”

Bahrain, meanwhile, stepped up its campaign, accusing some of deploying “scare-mongering tactics” designed to force the race’s cancellation.

The race organisers released a report conducted by Lotus, following the Enstone based team’s recent reconnaissance mission to Bahrain.

“We came away from Bahrain feeling a lot more confident that everything is in hand,” Lotus is quoted as having reported.

The team, however, reacted angrily, accusing the organisers of having released a “confidential” document.

“Lotus F1 Team is one of 12 contestants of the … world championship and we would never try to substitute ourselves for the FIA”, said the Enstone based team.

Surmised Times correspondent Kevin Eason on Twitter: “(It’s) getting messy…”

At the same time, F1 chief executive Ecclestone became fully immersed in the political situation on Tuesday, reporteding personally phoning Bahrain’s crown prince to express concern about the jailed hunger striker.

An Amnesty International report published this week had called for Abdulhadi Al-Khawaja’s release, amid claims he is now close to death and being force-fed.

But the Bahrain government, through its information affairs authority, insisted that only police and rioters are being injured in “infrequent and remote clashes”.

Also weighing into the argument was Sir Jackie Stewart, the eloquent triple world champion, who said: “I would go.

“The commercial rights holder has sold a package, at a price, and it is part of the constructors’ agreement that they attend the races that have been published,” he told the Guardian.

“As a team owner I would have to honour my agreement both orally and legally.”

Whatever happens, the Bahrain saga – stretching back now over a year – is not good news for the future of the island Kingdom’s calendar spot.

“Maybe we wouldn’t renew it (the contract),” Ecclestone admitted to the BBC. “We’ll have to look and see.”

Dr Helmut Marko has denied reports Sebastian Vettel was summoned to Red Bull’s headquarters this week to explain his behaviour at the recent Malaysian grand prix.

The Narain Karthikeyan-saga aside, reports suggested the German deliberately ignored his bosses’ instruction that he retire his RB8 – ostensibly due to a brake issue – so that he could fit a new gearbox without penalty in China.

The reports suggested Vettel had confessed immediately after the race that he heard the instruction but chose to ignore it.

“That is all nonsense,” Red Bull’s motor racing consultant Marko told Sport Bild.

“Sebastian did nothing – absolutely nothing – that was against our wishes.”

Marko said Vettel’s visit to Milton Keynes this week was scheduled long ago, adding that he will be working inside the driver simulator amongst other things.

He also hit back at claims the 24-year-old could be penalised by the FIA for breaching the code of conduct when he showed the ‘middle finger’ to Karthikeyan.

“The matter was resolved during the meeting with the stewards (in Malaysia). For me, the case is closed.”

Speaking to Kolner Express newspaper, however, an FIA spokesman confirmed that the code of conduct forbids superlicense holders from insulting their rivals.

But he added: “I imagine the application of this paragraph was considered by the stewards in Malaysia.”

And Sebastian Vettel’s spokeswoman said: “We know of no investigation.”

 Force India has been ordered by a British court to pay over a million dollars.
With team boss Vijay Mallya already in financial strife over his collapsing airline Kingfisher, his Silverstone based team must now pay Italian wind tunnel Aerolab.

The high court judge on Wednesday said the amount, which according to the Daily Telegraph will skyrocket to over $6 million once legal costs are added, is for unpaid fees following a copyright dispute with Aerolab and Caterham.

The newspaper said the bill could be the final straw for struggling Mallya, who may now cede control of Force India to 42.5 per cent shareholder Subrata Roy, another Indian billionaire.

But Force India hit back in a media statement on Wednesday by revealing that Aerolab and its client Caterham were found “liable for copyright infringement”.

“Some parts created using Force India confidential information were used on the Team Lotus race cars in the early part of the 2010 season,” it read.

Force India said it has referred the court’s ruling to the FIA.

 Many team bosses reportedly left the Melbourne paddock angry late on Sunday, amid claims Ferrari and Red Bull have agreed special deals for F1′s future beyond the current Concorde Agreement.
Rumours of the top teams’ deal – part of a reportedly planned $10 billion stock market floatation of the sport – began to swirl following the publication and then retraction of a Sky News internet report.

The report was reportedly based on a leaked copy of the draft 2013 Concorde Agreement, which according to London’s Telegraph newspaper “could hand Ferrari a direct stake in the sport”.

Red Bull, the reigning champions, “also stand to make a huge sum”, the report claimed, adding that the energy drink-owned team as well as Ferrari will be asked to nominate directors for F1′s holding company board.

Team boss Christian Horner revealed Red Bull is “in discussions with FOM” about a new Concorde Agreement, adding that talks are “progressing reasonably well”.

How the other major teams – like FOTA members McLaren and Mercedes – fit into the picture is unclear at present, but the Times newspaper reports that there are “no seats” at the boardroom table allocated for them.

An unnamed senior team executive described the rumoured special deals for Ferrari and Red Bull as “outrageous” and “against every facet of European competition law”.

Ferrari declined to comment.

Horner added: “We want one (a Concorde Agreement) which reaches into the future … a floatation is really down to the shareholders.

“It is not really the teams’ business,” he added. “It is more of a question for Bernie (Ecclestone) or CVC.”

Many paddock insiders, however, believe the deals are already done in principle, leading one angry rival team boss to blast: “Formula one stopped being about racing a long time ago”.

“There will be an end game to this,” he added. “We just have to figure out what it is and what it means for the people in the teams who want to go racing and not be involved in this kind of thing.”

F1 could be set to get some new shareholders, amid reports the collapsed US bank Lehman Brothers wants to sell its stake within two years.
The bank, which is being wound up to pay back creditors, still holds a 15 per cent stake in the majority CVC-owned holding company Delta Topco, which the Guardian newspaper said is valued at about $1.5 billion.

Lehman Brothers became a F1 shareholder in 2002, when the German media company Kirch defaulted on a loan.

Sir Frank Williams has stepped down from the board of his own formula one team.
Earlier this week, the Grove based team’s 69-year-old founder, major shareholder and team principal named chairman Adam Parr as his future successor.

“If for whatever reason I couldn’t come in to do my job, Adam would fill the gap,” he told the British magazine F1 Racing.

On Friday, a team statement read: “Sir Frank Williams, founder and team principal, announced his decision to step down from the board.”

He explained: “I turn 70 in April and I have decided to signal the next stage in the gradual but inevitable process of handing over the reins to the next generation.

“This is not as dramatic a move as it may appear: I shall continue to work full-time as team principal and I shall continue to attend all board meetings as observer,” added Williams.

He will also have a Williams family member on the board, as his daughter Claire steps up to be director of marketing and communications.

Frank Williams said: “I am proud to say that she has fought hard to earn this appointment and of all the battles she has had to fight, the prejudices of her father were not the least challenging.”

Late last year, the team’s co-founder Patrick Head also stepped down.

 Sir Frank Williams has named Adam Parr, the Oxfordshire based team’s current chairman, as his obvious successor.
69-year-old founder Williams remains the major shareholder and team principal, but he has already handed over the day-to-day running of the once-great outfit to fellow Briton Parr, 46.

“If for whatever reason I couldn’t come in to do my job, Adam would fill the gap,” Williams told the British magazine F1 Racing.

“He’s not a racer but, in a way, that’s probably an advantage in these distinctly commercial days,” he added.

Parr began his career with the investment bank Barclays de Zoete Wedd, and later worked for Rio Tinto.

He practiced law until the late 90s, meeting Williams in 2000.

Bernie Ecclestone has played down suggestions formula one might be sold to the public.

A few years ago, the F1 chief executive said an initial public offering “would probably be the right way to go” for the sport.

But he has now told the Financial Times: “There’s no way I would sit in front of a load of shareholders.

“It wouldn’t float under me,” insisted the 80-year-old.

F1 is currently majority owned by private equity investor CVC Capital Partners, with Ecclestone holding 5.3 per cent.

The report said the Briton values the organisation at $6 or $7 billion, but he is not worried about who will run F1 in his stead.

“Somebody will emerge when I’m not there,” said Ecclestone. “I think two or three people may come out the woodwork but I don’t think it could be carried on in the same way as it has.”

He said there is “no truth” to the rumours Flavio Briatore is a leading candidate.

Ecclestone also admitted that he would like Red Bull’s Mark Webber or Sebastian Vettel to win the 2010 title, so that there are five active world champions on the grid in 2011.

Sir Frank Williams sounds unlikely to oust German rookie Nico Hulkenberg for the 2011 season.

It has been suggested the 23-year-old could make way for Venezuelan pay-driver Pastor Maldonado.

But in an interview with the BBC, the Oxfordshire based team’s founder, boss and biggest shareholder Williams heaped praise on Hulkenberg.

“It was a little disappointing, maybe, in the first few races, perhaps because he was being over-cautious,” he said.

“But lately he has become very competitive and we have just seen the beginning of something exceptional.”

And when asked if F1 spectators will be seeing more of Hulkenberg, Williams added: “Absolutely. We do hope so yes.

“He won all the way up to Formula 3 and GP2, he has won every single championship and in the right team, hopefully us one day, he will win the world championship as well in formula one.”

The latest rumour is that it might instead be Rubens Barrichello moving aside for Maldonado, but Williams also had praise for the veteran Brazilian.

“He has enormous experience. He is now, without doubt, the most experienced driver in the pitlane and he does demonstrate that very frequently,” said Williams.

“His technique is very understated, he’s a very smooth driver. He likes to be mollycoddled emotionally a little bit, and he likes being told how good he is, but we don’t have any problem in telling him, we believe strongly in him.

“He’s good fun and very experienced and that is a great value to any team,” he added.

A Dutch GP2 driver is edging ever nearer a formula one race cockpit for the 2011 season.

Earlier this month, 25-year-old Giedo van der Garde’s manager revealed he is in talks with several teams and has received “concrete offers” from two.

Former Dutch F1 driver Jos Verstappen said at the time that he believes van der Garde’s talks were with Virgin and Lotus.

And now the Dutch magazine formule1.nl reports that he is in “extensive negotiations” with Virgin, who are believed to be seeking a pay-driver to be Timo Glock’s next teammate.

Interestingly, van der Garde’s manager Jan Paul ten Hoopen is also the commercial director of the Dutch fashion brand McGregor, who are set to stop sponsoring the Williams team.

And van der Garde’s father-in-law is Marcel Boekhoorn, a major shareholder of McGregor, who with ten Hoopen apparently visited Virgin’s team headquarters earlier this week.

“It’s a possibility,” answered van der Garde when asked if he is going to make his F1 debut with Virgin in 2011.

“I’ve only heard that we are talking; I have no idea if it will come to a deal.  That is my management’s job.

“Drivers are often the last to know.  I only know that they are working on it and I hear there have been some meetings.  I don’t know any more,” he insisted.

Although the German carmaker pulled out of the sport at the end of last year, Peter Sauber’s once-again independent team retained the official title BMW Sauber F1.

It is believed the reason was so that the commercial rewards due from Sauber’s participation in the 2009 world championship, resulting in sixth place in the title, were not jeopardised.

However, the situation means the C29 has been known officially and awkwardly as the BMW Sauber-Ferrari, due to the use of a Ferrari customer engine.

But although initially using clearly visible signage, the team has increasingly moved away from even mentioning BMW, now running a red ‘S’ logo and Sauber Motorsport branding.

According to Germany’s motorsport-total.com, the F1 Commission met on Monday ahead of a Geneva meeting of the World Motor Sport Council on Wednesday.

Sauber reportedly lodged a request with F1 Commission members – among them key stakeholders including FOM, fellow teams, promoters and sponsors – for a name change.

The next step is the approval of F1′s governing body.

(GMM)

Jun.17 (GMM) Pirelli may be looking to acquire a Toyota formula one car with which to do some specific tyre testing later this year.

With the Italian brand likely to succeed Bridgestone as F1′s official supplier in 2011-2013, it emerged recently that some development track testing is probable in the coming months.

Mercedes reserve driver Nick Heidfeld has already volunteered to participate.

“This is what we have to discuss with the tyre manufacturer as soon as we know who it will be,” confirmed Ferrari team boss Stefano Domenicali.

Milan based Pirelli has not yet received the official green light, but it is believed that contracts with F1′s commercial rights holder have been signed.

And Italy’s Autosprint claims that the 12 current teams signed a letter of intent in Montreal last weekend about being shod with Pirelli rubber in 2011.

The next step is the agreement of the FIA, with the World Motor Sport Council set to meet next Wednesday.

The magazine said talks between Pirelli and Toyota could result in a formula one car belonging to the Cologne based former competitor being used for tyre testing late this summer.

The solution would ensure that tyre data can be produced by Pirelli without any single team obtaining an advantage.