Liberty Media Chairman Considers F1 Sale Under Specific Conditions

John Malone, chairman of Liberty Media, is now open to selling Formula 1 under specific conditions, outlining for the first time when such a move would be considered.

Why it matters

This marks a significant shift, as Liberty Media, which acquired F1 in 2017 for $8 billion, has consistently overseen its dramatic growth and increased valuation. Malone's statement indicates a pragmatic approach to shareholder value, even for a highly successful asset like F1.

The big picture

Formula 1's value has soared under Liberty Media's stewardship. In 2023, rumors circulated about a $20 billion takeover bid from Saudi Arabia’s Public Investment Fund (PIF). The NASDAQ-listed FWONK stock has tripled in value from $30 in 2017 to roughly $100 today.

Malone emphasized F1's strong economic structure and its potential as a "very large free cashflow generator" on the Opening Bid Unfiltered podcast. He noted, "If somebody gets carried away and they want to buy it and they're willing to pay more for it than the board thinks that they can deliver to the shareholders, then we would sell it."

Key developments

• Leadership Evolution: Following Greg Maffei's departure, Malone temporarily assumed the CEO role, bringing back experienced figures like former F1 CEO Chase Carey to the board before appointing Derek Chang as the new CEO.
• Commercial Successes: Under Stefano Domenicali’s leadership, F1 has secured long-term contract extensions for circuits like Miami and Spielberg (until 2041) and forged major partnerships with global brands including Aramco, AWS, PepsiCo, MSC Cruises, and Crypto.com.
• Streaming Frontier: The US broadcasting contract with ESPN expires in late 2025, with Apple reportedly considering an F1 streaming bid. This could build on their existing collaboration for the Brad Pitt-starring F1: The Movie.
• Media Landscape Shift: Malone predicts radical changes in television, where social networking evolves into streaming entertainment. Liberty Media has already moved away from traditional TV models, exemplified by the success of the Netflix series Drive to Survive.
• MotoGP Acquisition: Liberty Media recently acquired MotoGP, now controlling the commercial rights for both premier four- and two-wheeled motorsport, potentially leading to bundled entertainment packages.
• Financial Health: The Formula One Group reported $1.6 billion in revenue and $442 million in OIBDA for the first half of 2025, demonstrating robust growth.

What's next

Speculation continues regarding potential buyers, with Saudi Arabia’s PIF frequently cited given its extensive investments in global sports. However, Liberty Media is not under pressure to sell its current cash cow, indicating any sale would be at a premium.