Ecclestone has faith in changes

Bernie Ecclestone believes Formula One’s future is bright despite selling his stake in the sport.

The Englishman, the commercial mastermind behind the sport’s success, will remain in control of Formula One despite today’s restructuring.

Ecclestone, had owned 25% of the Formula One Group through his Bambino Holdings family trust, along with three banks, including Bayerischen Landesbank.

A statement confirmed Bambino and BayernLB have sold their shares, although Ecclestone and his family trust are key players in Alpha Prema, the new company set up by CVC Capital Partners to manage their controlling interest in Formula One.

Ecclestone, who will still wield administrative control after retaining his role as chief executive of the Formula One Group, is confident the deal can help end the row over the sport’s future.

Five car manufacturers currently competing in Formula One are threatening a breakaway series if financial and regulatory demands are not met.

But Ecclestone said: “We are delighted to have CVC as a shareholder whose long-term strategies and vision will provide the stability for teams, promoters and manufacturers.

“They are knowledgeable about motorsport and make an ideal partner for Formula One.”

The manufacturers, who have formed the Grand Prix Manufacturers’ Association, have refused to follow the lead of Ferrari, Red Bull and Jordan in signing a new Concorde Agreement to secure the future of Formula One beyond 2007.

However, CVC’s Donald Makenzie, who is on the four-strong board of Alpha Prema, has spelled out his desire to achieve unity.

He said: “CVC is committed to a flourishing and successful FIA Formula One World Championship and will support every effort being made to maintain Formula One at the pinnacle of world motorsports.

“CVC has given its full support to the current discussions between Formula One and the racing teams to enable a successful extension of the Concorde Agreement.”

Today’s deal, which still needs formal approval from world governing body the FIA, breaks the alliance of Formula One’s three banks, who had gone to court to gain control of Formula One Group from Ecclestone.

BayernLB, Lehman Brothers and JP Morgan owned a combined 75% of Formula One’s parent company, with Bambino Trust owning the rest. BayernLB’s decision to sell up puts an end to the banks’ outright control of the sport.

The exact make-up of the new Alpha Prema company has not been revealed, but CVC are believed to hold a controlling interest.

Ecclestone is named as a shareholder, as is his Bambino family trust, while an unidentified “Formula One management team” is also part of the consortium.