MotoGP News: Liberty Media Reveals Dorna Takeover Timeline

Saajan Jogia | Nov 8, 2024

Apr 14, 2024; Austin, TX, USA; Alex Marquez (73) of Spain and Gresini Racing MotoGP and Fabio di Giannantonio (49) of Italy and Pertamina Enduro VR46 rides during the MotoGP Grand Prix of The Americas at Circuit of The Americas. Mandatory Credit: Jerome Miron-Imagn Images / Jerome Miron-Imagn Images

Formula 1 owner Liberty Media has revealed that the required finances are in place for the complete takeover of MotoGP by the end of 2024. The report comes months after Liberty Media announced plans to sell its Formula 1 stake worth $825 million to make up for the purchase of MotoGP.

During an investor call, Liberty's president and CEO, Greg Maffei, outlined the forthcoming steps in Liberty’s acquisition of Dorna, MotoGP's parent company, now that the necessary finances are secured. Despite this advancement, the acquisition faces scrutiny as Formula E founder Alejandro Agag has urged the European Commission to conduct an investigation into the deal. Confirming that Liberty has “secured all funding for [the] MotoGP transaction," Maffei said:

“The third quarter was active both at the corporate level and at our operating businesses.

“We closed the Liberty SiriusXM merger with SiriusXM, refinanced the F1 debt facilities and secured all necessary funding for our planned acquisition of MotoGP.

“We raised an incremental $850m in term loan B and $150m in term loan A commitments to fund that MotoGP transaction. All of that is deal contingent.

“We also issued $949m of FWONK shares, replacing the equity consideration to the sellers in the transaction, so we will directly pay them cash.

“We issued that stock at only a 4% discount to the market price, and it was placed with long-term holders. Those transactions complete the necessary funding for our MotoGP acquisition.”

Maffei added that the European Commission case is the only remaining hurdle, with resolution expected by the end of this year. He added:

“Let me turn briefly and give you a MotoGP transaction update.

“We are making progress with the European Commission which is our only remaining regulatory jurisdictional hurdle and we continue to expect a year-end close.”

MotoGP has confirmed that the 2024 season finale will proceed at Barcelona's Circuit de Barcelona-Catalunya. This decision follows the cancellation of Valencia as the original finale venue due to severe flood damage, with MotoGP now racing in solidarity with the affected region. Maffei has lauded Dorna for the decision to support the disaster-stricken region. He said:

“Looking at the underlying MotoGP business, the Valencia race was cancelled due to the tragic flooding in that region.

“Our thoughts are with the entire community.

“We give credit to Carmello and the management team at MotoGP for their quick and thoughtful response.

“They will pivot so the final race will be in Barcelona and it will be hosted there in solidarity with Valencia, and that will be the final races of the season.

“Various initiatives are also underway there to support relief efforts for Valencia that weekend.

“Looking at the business updates, MotoGP extended its rights agreement with FIM, their regulator, until 2060, they have announced their 2025 MotoGP calendar with 22 races across 18 countries, and they expect to release a new brand identity post-season.

“We look forward to more exciting racing and Liberty’s involvement.”