F1 Majority Shareholder CVC Capital Plans Joint Bid For IMG
F1 commercial rights holder CVC Capital has "joined forces" with Mumtalakat Holding Co., which is owned by the Kingdom of Bahrain, to "bid for IMG," according to Mark Kleinman of SKY NEWS. A source said that CVC would "form a consortium in which it would hold a 60% stake in IMG, while Mumtalakat and the Abu Dhabi Investment Authority (ADIA) -- both of which are sovereign-backed groups -- would own interests of about 20% each." Initial bids for IMG "are due within days." IMG Owner Forstmann Little's decision to sell the company is "sparking interest from potential bidders around the world, including a joint offer from KKR and New Mountain Capital, which was established by a former IMG executive." CVC would be "a logical buyer" because the company since gaining control of F1's shares in '05 has "grown the sport's profits significantly, to the extent that it has been planning a stock market listing in Singapore." CVC also previously owned Dorna Sports, which is behind the Moto GP racing series, and "bought All Sport Management, the company which has the rights to advertise at F1 circuits around the world" (SKY.com, 9/17).