Nurburgring sold for up to EUR 70m (2nd Update)
This week, F1 chief executive Bernie Ecclestone said he had been outbid for the fabled German grand prix venue, having offered "$50 million".
Now, the leading business weekly Wirtschaftswoche reports that Miami-based private equity company HIG Capital was the high bidder, having pledged EUR 60-70m for the circuit, amusement park and nearby hotels.
The report said the Nurburgring trustee had actually wanted a three-digit million sum.
HIG Capital declined to comment.
Asked if the Nurburgring will return to the calendar as scheduled next year, Ecclestone told Reuters: "It depends who buys it."
03/05/14 An investor group led by buyout firm HIG Capital "is poised to buy the financially troubled Nurburgring race track," according to Alexander Hubner of REUTERS. The consortium HIG "has already registered the acquisition of substantial parts of Nurburgring's assets with the German competition authority," the Federal Cartel Authority said on its website.
According to weekly publication Wirtschaftswoche, HIG is paying no more than $82M-$96M for Nürburgring. HIG Capital "declined to comment on the purchase." HIG "outmaneuvered" F1 CEO Bernie Ecclestone, who "had also submitted an offer for the circuit," which at 20km is the world's longest race track but has not hosted a Grand Prix since Niki Lauda crashed there in '76. Reuters
03/05/14 The German Grand Prix is once again coming under threat after Bernie Ecclestone revealed that he has failed in an attempt to buy the cash-strapped Nurburgring.
Currently, the race alternates between the Nurburgring and Hockenheim, with the latter set to host this year’s event. However, officials at Hockenheim are unwilling to commit to holding the race every year due to financial concerns, meaning that if the Nurburgring were to withdraw from F1, the German GP would also.
“The German Grand Prix is in trouble because they haven’t got any money," Ecclestone explained to City AM. “It is in trouble because it used to be supported by the council but now the European Commission has said people can’t use that sort of money for this sort of thing.
“On Wednesday they are going to make up their mind whether to accept the offers. None is from me. When I go to an auction I want to leave a bid, which is what I did, and somebody could offer more. I don’t know what’s happening there."
If a buyer for the circuit is found and they are willing to commit to hosting the race in the future, then the German GP may be safe for the time being. However, this long-running saga is only rumbling on.
It would be a travesty for such a historic and important race – and, equally, such a historic and important circuit in the form of the Nurburgring – to drop off the calendar.