Mercedes team reject fears of Ineos Formula 1 exit
Formula 1 powerhouse Mercedes have been forced to deny that the team’s ownership could shift amid a wave of sporting cuts by co-owners Ineos.
The chemicals giant, part-owned by British billionaire Sir Jim Ratcliffe, holds 33 per cent of shares in the Mercedes AMG Petronas F1 Team, with team principal Toto Wolff and the German carmaker occupying the other two equal holdings.
But Ratcliffe, who has purchased just under 30 per cent of Premier League club Manchester United across the last 14 months, has been making a series of drastic cuts and changes to his Ineos sporting portfolio.
The cycling team Ineos Grenadiers lost star rider Tom Pidcock, the America’s Cup team decided to ditch Olympic hero Sir Ben Ainslie and the company is currently in litigation with New Zealand Rugby over early termination of a six-year sponsorship deal.
Ineos blamed the All Blacks cash row on “poor trading conditions” due to “high energy costs and extreme carbon taxes” and “the deindustrialisation of Europe”.
Reports this week suggested that Mercedes-Benz had looked to source financing to buy out the Briton’s share in the Formula 1 team, which has struggled since his investment. The Telegraph further reported that Ratcliffe had ultimately opted to remain.
Ineos partnership ‘ongoing and stable’
Mercedes – who this year will have George Russell and Kimi Antonelli on the grid – yesterday told Sky Sports: “There have been no discussions at any point of a shareholder change and sponsorship with Ineos is ongoing and stable.”
Ineos bought its stake in Mercedes’ F1 team in December 2020, after Lewis Hamilton won the latest of his seven world championships.
Since then Mercedes have failed to win the constructors’ championship – Red Bull have picked up three and McLaren, with Mercedes power, pickled up the other – while they’ve lost all four drivers’ championships to Dutchman Max Verstappen.
Despite having involvement in sport before his minority purchase of Manchester United – including football clubs in both France and Switzerland, and a sponsorship deal with Tottenham Hotspur – Ratcliffe has become a far more public figure since investing in the Premier League side.
He has caused a stir with changes at Manchester United’s Carrington Training Centre, including more than 200 redundancies and reported changes to Christmas bonuses.
Ratcliffe and United have plans to either refurbish Old Trafford or build a new, 100,000 capacity “Wembley of the North” as part of a masterplan to rejuvenate the surrounding area.
There is currently government involvement and backing for the regeneration.