Toto Wolff is currently in discussions to offload a portion of his ownership stake in the Mercedes Formula 1 team. Wolff, who holds a 33% share in the team and serves as its chief executive and team principal, is reportedly in advanced negotiations to sell a small percentage of his ownership to an external investor.
Sources indicate that Wolff is in talks to sell between five and 10% of the team, potentially valuing the F1 outfit at approximately £4.5 billion and resulting in a substantial nine-figure payout for Wolff. Despite the potential ownership shift, Wolff is expected to retain all his current responsibilities within the team, according to a Mercedes spokesperson who confirmed that the team’s governance structure will remain unchanged.
While the Mercedes-Benz F1 team ownership is currently split equally among Wolff, the Mercedes-Benz Group, and INEOS, a petrochemical company owned by Sir Jim Ratcliffe, the spokesperson declined to comment on the specifics of the proposed ownership adjustment. They emphasized the commitment of all partners to the continued success of Mercedes-Benz in Formula 1.
Reported initially by Sportico, the potential deal would establish a record-high valuation for an F1 team. McLaren, winners of consecutive constructors’ titles in recent seasons, saw their value surpass £3 billion in September when Bahrain’s sovereign wealth fund, Mumtalakat, and Emirati investment group CYVN Holdings took full ownership of the team.
The surge in F1 team valuations in recent years can be attributed to the sport’s growing global viewership. Liberty Media, the commercial rights holder, has successfully broadened F1’s appeal by highlighting the personalities of drivers and key figures. Notably, the Netflix series “Formula 1: Drive to Survive” has been a significant driver of growth, attracting new audiences, particularly in the USA, where three races are now held annually.
Sky has enhanced its Ultimate TV and Sky Sports bundle to include HBO Max, Netflix, Disney+, discovery+, and Hayu, alongside 135 channels and comprehensive Formula 1 coverage, including every practice, qualifying session, and race throughout the season, as well as exclusive coverage of other sports.
INEOS acquired a one-third stake in the Mercedes F1 team for approximately £200 million in January 2022. Should Wolff proceed with the sale of part of his stake, the team’s value would see a remarkable 650% increase in less than four years.
Even less successful F1 teams have benefited from the sport’s heightened popularity. For instance, reports suggest that American entrepreneur Gene Haas rejected multiple offers exceeding £1 billion for his namesake team in the past year.
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