WILLIAMS COULD SELL F1 TEAM AFTER ENDING TITLE SPONSOR AGREEMENT

Williams could sell F1 team after ending title sponsor agreement – Photo: LAT

Williams Formula 1 team has been offered up for sale by its parent company following a downturn in revenue and the termination of its title sponsor agreement.

By RHYS VANDERSYDE

Following the release of its 2019 financial results, Williams Grand Prix Holdings has appointed joint financial advisors to assist in options to raise capital for the business which include the sale of minority stakes, majority stakes or even the full sale of the company.

“Whilst no decisions have been made regarding the optimal outcome yet, to facilitate discussions with interested parties, the Company announces the commencement of a “formal sale process.” read a statement from the team.

“While the Company has faced a number of challenges, Williams currently remains funded and ready to resume racing when the calendar allows in 2020.”

“The WGPH (Williams Grand Prix Holding) board believes that the strategic review and formal sale process is the right and prudent thing to do in order to take time to consider a full range of options and put the Formula 1 team in the best possible position for the future.”

Williams indicated that a decline in sponsorship income as a result of poor on-track performance in recent years has been a contributing factor.

“The financial results for 2019 reflect the recent decline in competitiveness of the F1 operation and the consequent reduction in commercial rights income,” said Mike O’Driscoll, Chief Executive Officer.

“After four years of very solid performance in the FIA F1 Constructors’ Championship during which we claimed two third and two fifth-place finishes, we endured a couple of very difficult seasons.”

“We have implemented a significant restructuring over the last nine months and have strengthened the technical leadership team.”

“The 2020 Formula 1 season has, of course, been disrupted due to the COVID-19 pandemic, and this will have an impact on our commercial rights income this year.”

The team has also confirmed it has now terminated its relationship with title partner ROKiT and sponsor ROK Drinks.

“In common with many other businesses, we have taken extensive action to mitigate, including a prolonged furlough period for much of our staff,” O’Driscoll continued.

“As this awful global crisis recedes, everyone at Williams Racing is looking forward to the start of the new season.”

The Formula 1 season is now scheduled to get underway in early July with back-to-back races at the Red Bull Ring in Austria.

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