CMC Capital Partners has confirmed its investment in Formula E Holdings, the owner of the international electric-powered open-wheel series Formula E.
According to the South China Morning Post, the share acquisition is valued in the tens of millions of euros for an undisclosed stake. The company, which was founded by Chinese media mogul Li Ruigang, will help expand the series’ presence in the burgeoning Chinese market.
Formula E recently agreed broadcast partnerships with Chinese linear TV channel CCTV and online streaming site iQiyi.com to show races in the Asian country. Furthermore, retired Chinese basketball star Yao Mings’s private equity firm Yao Capital - which he founded with veteran investor David Han - reportedly completed a strategic investment in Formula E earlier in the year.
“The global automotive industry is now undergoing profound changes with the power source shifting to renewable energy from traditional petrochemical,” said Li. “China is playing a central role in promoting these changes with its vast auto market. The evolution of the auto industry has also brought historic opportunities for motorsports.
“Since its inauguration three years ago, Formula E has quickly evolved into a premium global sports IP under a first-class leadership, with remarkable progress in promoting sustainability, innovation, and market penetration of electric vehicles, as well as in media partnership, sponsorship and tourism. CMC has been focusing on investing in premium global and local sports IPs, and we look forward to working together with Formula E both in China and globally.”
Alejandro Agag, founder and chief executive of Formula E, added: “We are excited to welcome CMC Capital Partners, led by Ruigang Li, to the increasing list of investors joining Formula E and the electric revolution.
“China is an important player in the potential of electric vehicle manufacturing and production, and this partnership reinforces our intentions to promote sustainable mobility across Asia and mainland China. The opening round of each season has been hosted in this region.”