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Tue
Sep 16 2008

Bankrupt Lehmans had F1 stake

Ed Keohane
Yes, that's right. Just as we were all at the point of saying - global downturn and stockmarket chaos aside - that the fall of Lehman Brothers investment bank wasn't going to affect us, it turns out that maybe it will.

A quick trawl through lemon's Lehman's assets confirms that the bank owned 16.7% of F1. The majority of the shares are owned by private equity group CVC, which will have the right of refusal on the Lehman F1 assets. This means that it can in effect decide who cannot own them, although at a price. CVC has bid for Lehman's shares in the past, but been turned down.

What does all this mean for F1? Well, that's where it gets tricky. We know that F1 is run to make money, but there is an argument that the more a company borrows, the less it can afford to invest... and that should worry all F1 fans.

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About Ed Keohane

Says his job description should be shown at the Smithsonian as one of the longest documents in the English language. Likes small cars and simple 4x4s that he can mend himself.

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