Private equity firm CMC Capital Partners along with its portfolio company SECA has invested an undisclosed amount for a stake in Formula E Holdings, the official promoter of the FIA Formula E Championship, the company said in a statement.
With the latest investment, CMC and SECA will help expand Formula E’s presence in China, CMC Chairman Li Ruigang said in a statement.
Formula E Holdings Ltd, through its subsidiaries, provides electric racing series. The championship, started in 2014, sees electric-powered cars produced by makers including Renault, Jaguar and Mahindra racing on the streets of major cities.
“We are excited to welcome CMC Capital Partners, led by Mr. 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,” Alejandro Agag, Founder & CEO of Formula E, said.
Formula E has set up partnerships with Chinese TV stations and online video sites including CCTV and iQiyi.com to broadcast races in China. In 2016, 488,000 Chinese viewers watched the race in Hong Kong via the Internet.
“The opening round of each season has been hosted in this region – Beijing and Hong Kong – and we have teams and drivers such as TECHEETAH and Ma Qing Hua already competing in the series. We look forward to working closely with CMC Capital Partners, and continuing to grow the profile of Formula E in key territories across the globe,” Agag added.
“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,” Ruigang said.
In 2015, the private equity firm along with CITIC Capital acquired a 13% stake for $400 million in City Football Group, the parent company of the Manchester City football club in England.