Mercedes AMG Petronas threaten to quit at end of 2012 F1 season – Reports
Mercedes AMG Petronas have reportedly declined the offer made by CVC Capital Partners Limited, the owners of F1, to carry on in the sport after 2012.
Mercedes made this decision after it has been considered that Scuderia Ferrari and Red Bull Racing will get more rewards in order to stay in F1 until 2020. Besides, it has constituted to a situation which can also authorise the Brackley-based team to take
legal action.
Red Bull, McLaren and Ferrari have signed the Concorde Agreement during the last month which is a confidential agreement amongst the managements of F1, the teams in F1 and the other stakeholders.
Moreover, the agreement summarizes the terms of business under which each party takes part. More to the point, it has affirmed that the three contenders will participate in the sport ahead of 2012 F1 season.
In addition, the terms of Mercedes with F1 will be expired at the end of this season, in the last GP which is to be held in Brazil.
It will be quite important to know that majority of the shareholders can alter the early offer to the German manufacturers because the business can be undervalued without any kind of renewal of the terms amongst the teams.
Additionally, at present, CVC is in a very complex situation not because it was considering an initial public offering but because it is now taking out 1 billion US Dollars from F1 as a part of refinancing of 2.2 Billion USD loan.
“CVC will want to do a deal with Mercedes as soon as possible to satisfy the financial markets,” Xander Heijnen, a partner with CNC Communications & Network Consulting who has advised teams on strategy, was quoted saying on Bloomberg.
Furthermore, the Brackley based team has been facing immense criticism from the defending champions, Red Bull and Lotus, due to its novel DRS-activated F-duct device.
The team principal of Lotus, Eric Boullier even threatened to protest against the results of the qualifying, in the season opener held at Albert Park in Melbourne, over the legitimacy of the new device of Mercedes.
Nonetheless, F1 race director, Charlie Whiting said it to be legal, later.
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