The COVID-19 Pandemic has forced significant changes into nearly all aspects of regular life, with alterations extending to sporting associations like Formula One. Multiple teams are rumoured to be selling stakes in their team operations, with Williams Racing confirmed & all others under speculation status. That could change for one group after inside sources leaked information to Sky News. Inside sources claim that McLaren Racing is selling a 30% stake in their operations, hoping to account for the notable losses sustained during the COVID-19 Pandemic. Zac Brown hasn’t been available to issue public statements on this rumours.
It’s reasonable to presume that inside sources are correct. McLaren Racing heavily invested into their operations throughout the 2018-19 Formula One Seasons, exhausting a large percentage of their reserve funds. Not anticipating the possibility of a Global Pandemic, McLaren Racing was forced to terminate 25% of their British Workforce. They’ve begun restricting their internal operations, with team personnel noting weeks ago that McLaren would be forced to leave Formula One if budget caps at $135 Million weren’t implemented by 2022. McLaren amongst all other F1 Teams, except for Mercedes & Ferrari, demanded the budget cap alteration. It’ll remain in effect until 2030.
All Formula One Teams have lost considerable revenue throughout 2020, with outfits like Mercedes & Ferrari losing hundreds of millions by being unable to race for months. These largescale operations can account for these losses with their reserve funds & bank loans. However, teams like Williams Racing are near bankruptcy because of the COVID-19 Pandemic. If it weren’t for Toto Wolff from Mercedes AMG-Petronas & Astron Martin Racing, Williams Racing would’ve been forced to terminate their existence in F1. Toto Wolff now holds shares in three Formula One teams.
It’s not expected that the German Team Boss will purchase a 30% stake in McLaren. The associated cost after notable investing from Toto Wolff over COVID-19 has depleted his Risk Capital. Details on who’ll buy Williams Racing hasn’t been provided, with recent information from this camp expressing that Claire Williams has lost her position as Team Boss. This will benefit Williams Racing in their future operations.