24/07/2005
NEWS STORY
One of the big stories in the Hockenheim paddock this weekend concerns the possibility of a buyout of the Formula One group by Hong-Kong based conglomerate, Hutchison Whampoa, part of the tycoon Li Ka-shing's empire.
According to reports, the media company, Tom Group, which is controlled by Hutchison, has already held provisional talks with the three banks - JP Morgan, BayernLB and Lehman Brothers - which own a 75% stake in F1, Bernie Ecclestone's family trust (Bambino Holdings) owning the remaining 25%.
According to the British newspaper, The Sunday Telegraph, a banker close to the negotiations said: "Hutchison wants to add F1 to its media empire. It sees great potential for F1 in Asia and it is now spending a lot of time and effort cosying up to Bernie Ecclestone. The banks are quite happy to sell out."
It's understood that the Tom Group would want to see Ecclestone remain on board, though the Englishman is (currently) playing his cards very close to his chest.
"One guy came to see me and I put him in touch with the people that own the shares - the banks," said Ecclestone, according to the Press Association.
Although the banks are free to sell their shares to whoever they wish, it's believed that the Tom Group would prefer to have Ecclestone's approval, however, according to his comments to the Press Association he would not be that enamoured with such a deal. "Why do I want to change the shareholders we've got for shareholders we don't know?" he said.
"I'm happy with the banks," he added. "I've no problem with them."