Formula 1\u2019s newest team could be for sale, according to a new report.<\/p>\n
As first reported by our friends at Sportico<\/a>, Mark Walter is exploring a potential sale of his stake in Cadillac F1<\/a>. Walter is the owner of TWG Global, which holds the controlling majority stake through the organization\u2019s TWG Motorsports division. While the exact ownership structure of Cadillac F1 is unknown, reporting indicates<\/a> that General Motors holds \u201coptions up to 30%,\u201d Cadillac F1 CEO Dan Towriss holds \u201cup to 3%,\u201d and Walter controls the rest.<\/p>\n In late August, TWG Global released a lengthy statement in response to speculation that the company would sell Cadillac F1 and\/or the Los Angeles Dodgers. In the statement, the company noted that with respect to the Dodgers, \u201cto be clear, the team is not being sold and no sales process has been inintiated.\u201d<\/p>\n With respect to Cadillac F1, and TWG Motorsports, the statement declared that \u201cTWG is not considering exiting its stake in the Cadillac Formula 1 team or any other part of TWG Motorsports and has also stated this position on-the-record.\u201d<\/p>\n However, as noted by Sportico, Walter not only agreed to sell the Los Angeles Lakers to Joshua Kushner and Bob Iger for $12.5 billion back in early August, but he sold his stake in Premier League club Chelsea to majority shareholder Clearlake Capital, and Bloomberg reported late last month<\/a> that Walter is also looking to sell his stake in the WNBA\u2019s Los Angeles Sparks.<\/p>\n These reports come as TWG Global and Guggenheim Partners \u2014 an investment and financial advisory firm where Walter is CEO and co-founder \u2014 are under federal investigation for not disclosing related-party transactions within insurance companies under the Guggenheim Partners umbrella. TWG Global and Guggenheim continue to assert that<\/a> \u201cthere was no wrongdoing,\u201d there has been \u201cno fraud,\u201d and that while the investigations originated with a whistleblower concern, \u201c[n]o one has been harmed, and no one has claimed they were harmed.\u201d<\/p>\n Cadillac\u2019s first season on the F1 grid<\/a> is drawing to a close, and while the team has yet to secure a point this season, Cadillac F1 recently announced that veteran driver Sergio P\u00e9rez signed a new multi-year deal that will keep him with the team through \u201cat least 2029.\u201d In addition, Cadillac is set to open a brand-new power unit facility in North Carolina this December, that Team Principal Marcin Budkowski calls<\/a> a \u201cstatement of intent\u201d regarding the team\u2019s F1 ambitions.<\/p>\n As reported by Sportico, Walter is \u201cshopping his Cadillac F1 team with an asking price of at least $3 billion, according to three people familiar with the process. There are at least seven parties interested in the team, which is wrapping up its Formula 1 season.\u201d<\/p>\n Sportico also notes that the team is \u201con track to lose roughly $400 million this year, according to multiple sources, but that is largely a function of startup costs and the commercial business still ramping up.\u201d<\/p>\n Last year, Sportico published the outlet\u2019s \u201cFormula One Valuations Ranking<\/a>,\u201d with an average value of $3.42 billion for an F1 team, up 48% from 2024 and more than double the outlet\u2019s 2023 F1 team valuations, when the average was $1.61 billion.<\/p>\n