Formula 1 team looks to secure its future by broadening shareholder base
AT&T Williams, the company that operates the Williams Formula 1 team, has revealed it is considering a stock market flotation.
Taking the motor racing team public would help ensure its long-term stability, explains team principal and co-founder Frank Williams in a statement.
‘I have concluded that the option that will best achieve this is to broaden our shareholder base with public shareholders, while having a stable core of long-term investors closely involved in the running of the team,’ says Williams.
‘This will ensure stability and good governance, and will, I believe, enable us to attract and retain the best people and partners.’
Williams is one of Formula 1’s most successful teams, but in recent years has struggled to compete at the top of the sport.
The team principal said he would remain ‘the majority and controlling shareholder’ in Williams following any move into the public markets. ‘If the environment is propitious, we may act in the near future,’ he added.
In a Q&A posted on the AT&T Williams’ website, chairman Adam Parr says the team would not be looking to raise any funds as part of a floatation and insists it had the financial track record to support going public.
‘The company has always been run on sound financial principles,’ Parr explains. ‘In spite of the economic environment in recent years, we have turned a profit and generated positive cash flow from operating activities in 2008, 2009 and 2010, and we have a fully contracted budget for 2011.’
