Formula One Group (NasdaqGS:FWON.K) has entered into an agreement to acquire to acquire 86% stake in Dorna Sports, S.L. from Canada Pension Plan Investment Board and Bridgepoint Group plc (LSE:BPT) and others for ?3 billion on March 29, 2024. The transaction sees Liberty Media acquire approximately 86% of Dorna, while Dorna management will retain approximately 14% of its stake in the business. For their part, Bridgepoint and the Canadian pension fund CPPIB exit the capital of the Spanish company after several years as shareholders. The transaction reflects an enterprise value for MotoGP of ?4.2 billion and an equity value of ?3.5 billion with the existing debt balance at MotoGP expected to remain in place after close. The equity consideration to sellers is expected to be comprised of approximately 65% cash, 21% in shares of Series C Liberty Formula One common stock (Nasdaq: FWONK) and 14% of retained MotoGP management equity. The cash consideration will be funded with a mix of cash and debt, subject to market conditions. MotoGP has Revenue of ?486 million and Adjusted EBITDA of ?179 million. Liberty Media will pay termination fee of ?126 million. The acquisition is expected to be completed by year-end 2024 and is subject to the receipt of clearances and approvals by competition and foreign investment law authorities in various jurisdictions.

Goldman Sachs & Co. LLC is acting as financial advisor to Liberty Media and is providing committed debt financing for the transaction, and C. Brophy Christensen, Brad Finkelstein, Andrew Weiler, Noah Kornblith, and Robert Wann, Cheryl Looper, Keith Guo, and Benjamin Finger of O?Melveny & Myers LLP is acting as legal counsel. Moelis & Company LLC is acting as financial advisor and Latham & Watkins LLP and Ildefonso Polo of Garrigues are acting as legal counsels to Dorna,. David Walker, David Little, Lisa Martin and Matthew Goulding, Helen Lethaby, and Dominic Newcomb of Latham & Watkins has advised Bridgepoint and the Canada Pension Plan Investment Board (CPP Investments).