CVC receives Liberty, Discovery bid for Formula One


European private equity firm CVC Capital Partners has been approached by global cable company Liberty Global and US media group Discovery Communications with a bid to acquire a 49 per cent stake in racing car group Formula One, according to the Telegraph.

The deal could value the company at over £6.5bn.

CVC currently owns 35 per cent of Formula One, and last year said that while future plans could see it float the company, its IPO plans are currently on hold.

In October 2013 it was reported that CVC had received an $865m dividend from its investment in the motor racing brand thanks to a number of lucrative media deals.

The dividend includes a $355m payout that followed a refinancing after the company delayed a planned IPO in Singapore in 2012. Formula One initially planned to raise as much as $3bn via an IPO.

Reports in March this year quoted Formula One head Bernie Ecclestone as saying it could revive the Singapore IPO later this year, although a 2014 listing looks more likely.

Ecclestone has recently been hit with bribery charges in Germany that stemmed from the sale of a stake in Formula One to CVC in 2005.

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