FIM “convinced” Liberty takeover will be positive for MotoGP

The American firm announced earlier this week that it has reached a deal to buy an 86 percent share in MotoGP’s parent, Dorna Sports, which values the business at €4.2 billion (approximately AUD 6.9 billion).

That would bring the championship and other Dorna properties, such as World Superbikes, into the same corporate family as Formula 1, which has experienced a boom under Liberty ownership.

A statement from the world governing body of motorcycle racing began, “Following the recent public announcement regarding the acquisition of Dorna Sports S.L. by Liberty Media Corporation, the FIM welcomes this agreement.”

It went on to add, “The FIM is convinced that these World Championships will benefit from the strength and broadcast quality of Liberty Media Corporation and congratulates [CEO] Greg Maffei and his team on these additions to their portfolio, which will undoubtedly help grow the sport for fans, teams, commercial partners and all related stakeholders.

“The FIM is delighted to continue its excellent relationship with Dorna Sports S.L., especially with Carmelo Ezpeleta and his management team, and look forward to working together towards the growth of this exciting sport.”

The deal is dependent on regulatory approval, about which Maffei and Liberty Media’s Chief Legal Officer, Renee Wilm, have expressed confidence, despite CVC being forced to divest itself of Dorna when it bought F1 in 2006.

If it does go through, Dorna would continue as an independently-run company, based in Madrid, but would form part of Liberty Media’s Formula One tracking stock.

Maffei has promised that Liberty is “not planning to change the sport” when he spoke in an investor call held in the hours after the takeover announcement on Monday (local time).

“On monetisation versus growing the support, I think that’s kind of a false dichotomy in some respects; I think they go hand in hand,” he remarked, regarding a question about plans to grow MotoGP versus Liberty’s own financial objectives.

“What we really saw in F1 was, as we grew the fanbase your monetisation became easier because your partners – whether they be broadcast partners, promoter partners or sponsor partners, and whether they’re looking at branding or activation, and more and more at activation – it’s all part and parcel.

“As that excitement grows, as that demand grows, as that audience grows, everything kind of flows together and there’s a sort of positive flywheel.

“And that’s what we felt in Formula 1, those all came together. And I like to believe that’s the potential here.

“This is an unbelievable product, we are not planning to change this sport.

“This is a great sport with a great fanbase that has unbelievable competition and unbelievable excitement.

“Our goal is to open that up to a broader audience and open it up to a broader set of commercial partners of all flavours. And I think those go hand in hand.”

The F1 boom has included massive growth in Liberty’s home market of the United States, which now hosts three grands prix, specifically street races in Las Vegas and Miami, and a more established event at the Circuit of The Americas – which hosts MotoGP later this month (April 12-14, local time).

The Liberty takeover is the latest American flavour to be added to MotoGP, after NASCAR upstart Trackhouse Racing absorbed the Aprilia satellite team following the expulsion of CryptoData RNF, and former NBA figure Dan Rossomondo was appointed Dorna’s Chief Commercial Officer.

Dorna’s properties include not only MotoGP and WorldSBK but also Moto2, Moto3, MotoE, JuniorGP, and the new Women Circuit Racing World Championship.