Formula One ordered to disclose sale documents
Bernie Ecclestone is facing more questions over the sale of Formula One in 2006 after a court in London ordered the Formula One Group to hand over documents relating to CVC's purchase of the sport.
With Ecclestone having already been indicted in Germany, the Financial Times reports Ecclestone and other defendants are facing a claim from Constantin Medien - the German media group - for damages of at least $171m amid claims Formula One was undervalued when it was sold to CVC from previous owners BayernLB. Constantin Medien's interest is because it "had a contractual right to receive a contribution from the sale of BayernLB's stake in F1", the report says.
With his indictment in Germany relating to allegations of bribery, Ecclestone will now have a second case to deal with as he is likely to be called as a witness in the Constantin Medien court case which has been set for October 28.
According to the Financial Times, the documents the court wishes to see include "due diligence reports on F1 at the time of the sale and the refinancing … in-house financial models projecting revenues and costs … and documents relating to the addition of a race in Abu Dhabi to the F1 calendar."
Constantin Medien's claim revolves around the value which was given to the sport a year after the sale: "The stake was sold for $820m when CVC completed the purchase of F1 in April 2006. But CVC's refinancing of F1 a year later implied a valuation of the stake of $2.8bn."
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