Formula E, bankrolled with $100M by Boston Celtics managing
partner Wyc Grousbeck and others, "wants to seduce sports fans
and carmakers with a view to a possible initial public offering," according to Alex Duff of BLOOMBERG. At the series offices in London, Formula E CEO Alejandro Agag said that "Renault SA is a series sponsor and
Audi AG, which is backing one of 10 teams, also has 'a foot in
the door.'" Agag said luring more carmakers is “very, very important” for the
series and representatives from 10 auto companies were guests in Beijing. He "declined to identify them," saying he
did not want to jeopardize confidential negotiations. Mark Gallagher, who
has worked as an auto racing exec for Ford Motor Co. and
Cosworth Ltd., said that carmakers "will be watching for the public’s reaction and
the reliability of the cars." Gallagher said, "They’ll be looking to see whether it can give electric
cars the wow factor. If the cars last the
full race distance and look quick then it will be very
attractive." Enrique Banuelos, a developer who lost most of his $5B fortune in Spain’s real estate crash, "is the biggest
investor and Agag also holds a stake." Agag said that investors could hold an IPO in "anything from two to five
years" or a sale to a private equity firm. He added that the
holding company "is domiciled in Hong Kong partly for a potential
share sale" (BLOOMBERG, 9/12).
FORMULA E DEBUT: In Hong Kong, Alvin Sallay wrote Formula E "came to the streets of Beijing" on Sunday. Among the interested observers was Hong Kong Automobile Association President Lawrence Yu Kam-kee, "who is confident the series will come to the streets of Central next year." Chinese fans packed the main grandstands around the emblematic "Bird's Nest." Some lined the track sides, "carrying children on their shoulders as the futuristic whine of the cars sounded across the track, and techno music added to the atmosphere." After the race, Yu said that "he was going to try to seal a multi-year contract with organisers to bring a race to Hong Kong." He said, "I want to find out how many years the race will be run in Hong Kong and also nail down the funding" (SOUTH CHINA MORNING POST, 9/14).
