The European Commission has finally approved Liberty Media’s acquisition of Dorna Sports, MotoGP’s official rights holder, with the takeover expected to be completed no later than July 3.
Liberty announced it would acquire 84 percent of Dorna Sports last April for a sum of $4.2 billion. But the move was put on hold once the European Commission started an investigation on December 19 to define whether the current owners of Formula One would violate antitrust rules by taking over another major motorsport series.
Yet a statement from the European Commission on Monday, June 23, concluded, “The companies are not close competitors for the licensing of broadcasting rights for sports content.”
It also found that “broadcasters would continue to be able to license a range of other sports attracting larger or similarly large audiences,” meaning the acquisition “will not remove important competitive constraints between Formula One and MotoGP.”
From March of this year, there has been a growing confidence inside both Dorna and Liberty Media that the deal would go through.
Liberty Media’s President and CEO Derek Chang said, “We are thrilled to officially commence Liberty’s partnership with Carmelo [Ezpeleta, CEO of Dorna Sports] and his excellent management team.
“MotoGP is a highly attractive premium sports asset with incredible racing, a passionate fan base and a strong cash flow profile. We believe the sport and brand have significant growth potential, which we will look to realize through deepening the connection with the core fan base and expanding to a wider global audience.”
Liberty Media initially insisted it would take a hands-off approach to the running of motorcycle racing’s premier class. Indeed, Ezpeleta will continue in his role as CEO of Dorna from his base in Madrid.
Yet a Liberty Media statement confirmed there would be changes to Dorna’s board of directors. Chase Carey, director of Liberty Media and former CEO of Formula One, and Sean Bratches, the former Managing Director of Formula One, will join the board to oversee strategic direction.
“We are very happy that the European Commission has approved the transaction,” said Ezpeleta in an official statement. “This is an important milestone confirming the even brighter future that lies ahead for MotoGP.
“MotoGP is one of the most thrilling sports on earth, and we look forward to accelerating the sport’s growth and expanding its reach to even more fans around the world.”
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