Spyker considers selling F1 team

[Christopher]

Hmmm, Spyker Cars in trouble after buying F1 team……no real surprise there then.

From Autosport.

Spyker considers selling F1 team

Dutch sports car maker Spyker Cars NV might sell some or all of its Formula One team as part of a refinancing plan and strategic review, Spyker said on Tuesday.

Spyker said in a statement that negative publicity on its credit worthiness and survivability had forced it to get additional funds to secure its short term liquidity position and to continue investments.

"Of the various refinancing scenarios being considered, the (partial) sale of the Spyker Formula One Team is one possibility," said Spyker, adding that it was reviewing a number of unsolicited received offers for the team or parts of it.

Spyker's current interim chief executive and director of the Spyker Formula One team, Michiel Mol, is also considering buying the racing team and he would step down as CEO and director to prevent a conflict of interest, Spyker said.

The vice-chairman of its supervisory board, Hans Hugenholtz, will temporarily take on the role of CEO until a successor for Mol was found.

The company, founded in 2000, said it expected to make a loss in 2007 and added its Formula One team would be not be "cash neutral" due to higher than expected costs and lower than expected revenues from television rights and sponsors.

Spyker, which bought a Formula One team last September, said its short term liquidity position was tight and its shareholder Strongwind of Luxembourg had supported Spyker with an additional 2 million euros ($2.72 million) loan.

The car maker said it expected its refinancing operation to be completed by the end of the third quarter this year. Last month it said delisting was a possibility.

[Paddy_NL]

Spyker said in a statement that negative publicity on its credit worthiness and survivability had forced it to get additional funds to secure its short term liquidity position and to continue investments.

Oh well, I guess there's always someone to point a finger at. But to blame the media?

[garyfrogeye]

What's the record for the shortest time that an F1 team has been owned? This must be close

[vqdave]

Why the F did they buy it in the first place? Weren't cool cars and LM good enough?

What were their finances like before the F1 purchase, were they in the black?

[Christopher]

What were their finances like before the F1 purchase, were they in the black?

I think only just. One year in the black and they decided to go F1.

Now there is every chance that the F1 quest will bugger it for the car division and LM.

[vqdave]

tw@'s

[nopanic - neil]

What were their finances like before the F1 purchase, were they in the black?

I think only just. One year in the black and they decided to go F1.

Now there is every chance that the F1 quest will bugger it for the car division and LM.

Sounds like someone at Spyker thought their gonards were bigger than their bank account, and thats all they need.

By the way - how much to race 1 season at F1 level?

[Steve Pyro]

Why does someone buy an F1 team?  Do they expect world wide fame and recognition and, hence, huge popularity and sales for their other products?

Surely, apart from the sponsorship and TV deals, F1 is propped up and financed by partners with a large chunk of disposable income.

[knetter]

What were their finances like before the F1 purchase, were they in the black?

I think only just. One year in the black and they decided to go F1.

Now there is every chance that the F1 quest will bugger it for the car division and LM.

Sounds like someone at Spyker thought their gonards were bigger than their bank account, and thats all they need.

By the way - how much to race 1 season at F1 level?

I think spending on the F1 team, including the purchase of the team, has been about 200 million euro's!!! The endurance team cost 1/40 of that to run for a whole year

[vqdave]

yikes that is allot of cash, how much would i need to win on the old lotto to fund a car for LM then?

[LangTall]

200/40 = 5

[Andy Zarse]

I can't say I'm desperately upset to be honest. A bunch of dick-waving big mouths have bitten off far more than they can chew. Well tough luck chaps and welcome to commercial reality. I wonder who's going to become the new F1 laughing stock now?

Here's what we all said about it 12 months ago, it's quite instructive to go over it again.

http://www.clubarnage.com/forum/index.php?topic=5936.0

For the most part I think the disasterous F1 debacle has done enormous damage to the quietly nurtured brand image they were trying to cultivate? I mean, what successful business executive or preening Arab prince wants to be seen in a Spyker Coupe now? It's completely tainted with failure, financial catastrophe and complete mismanagement. The directors would have been better off taking Fax's advice and employing Mr Egg Foo Yooung. 

[vqdave]

200/40 = 5

was thinking its not as simple as that, but 5 mill, well thats not too bad, esp in the old urines, which comes in around 3 and half mill GBP. so that leads me onto another question.........

[Boorish Grobian]

Can anyone say...Andrea Moda, Life, Onyx, etc.
Never learn do they? Yeesh!
Andy, you said it best.  A bunch of dick waving loud mouth's who think they can do a better job than Ron Dennis, Frank Williams, The Flav, etc.
Fax

[Leftie]

What were their finances like before the F1 purchase, were they in the black?

I think only just. One year in the black and they decided to go F1.

Now there is every chance that the F1 quest will bugger it for the car division and LM.

Sounds like someone at Spyker thought their gonards were bigger than their bank account, and thats all they need.

By the way - how much to race 1 season at F1 level?

I may be corrected here but by current estimates. As basic 2 car team that buys engines etc expect to spend anything between £60m - £100m.

This includes all testing, manufacturing and all support staff, buildings etc.

Now, hopefully for the team owner, sponsors will pick up the tab.  In Spykers case, obviously they haven't budgeted enough!