In a landmark deal, Liberty Media Corporation has announced its acquisition of Dorna Sports, S.L., the exclusive commercial rights holder for the MotoGP™ World Championship. This strategic move, valued at an enterprise value of €4.2 billion, significantly expands Liberty Media’s portfolio of premier sports and entertainment assets. The acquisition is set to be completed by the end of 2026, subject to regulatory approvals.
The deal underscores Liberty Media’s commitment to growing its presence in the world of motorsports. With the addition of MotoGP, Liberty Media now boasts a diverse portfolio that includes the Formula One Group and other high-profile investments. This acquisition is poised to enhance Liberty Media’s offerings and reach a broader global audience.
The Significance of the Acquisition
MotoGP is renowned as the pinnacle of motorcycle racing, featuring breathtaking races with top speeds exceeding 360 kilometers per hour and lean angles of over 60 degrees. Since its inception in 1949, MotoGP has grown from six rounds across Europe to a global spectacle, with 21 races across 17 countries in the 2026 season. The sport benefits from a robust financial profile, characterized by diversified and contracted revenue streams, high EBITDA margins, and low capital intensity, resulting in significant free cash flow.
Carmelo Ezpeleta, who has been the CEO of Dorna since 1994, will continue to lead the business from its headquarters in Madrid. Ezpeleta’s leadership has been instrumental in transforming MotoGP into a global phenomenon, and his continued involvement is expected to ensure a smooth transition and future growth.
Financial and Strategic Implications
Liberty Media will acquire 86% of Dorna, with MotoGP management retaining approximately 14% of their equity. The transaction reflects an equity value of €3.5 billion, with the existing debt balance at Dorna expected to remain in place post-closure. The equity consideration to sellers will be comprised of approximately 65% cash, 21% in shares of Series C Liberty Formula One common stock (Nasdaq: FWONK), and 14% of retained MotoGP management equity.
The cash consideration will be funded with a mix of cash and debt, subject to market conditions. Liberty Media retains an option to deliver additional cash in lieu of FWONK common stock. This financial structure is designed to provide flexibility and ensure the successful integration of Dorna into Liberty Media’s portfolio.
Future Prospects and Growth Opportunities
Greg Maffei, President and CEO of Liberty Media, expressed enthusiasm about the acquisition, stating, “We are thrilled to expand our portfolio of leading live sports and entertainment assets with the acquisition of MotoGP. MotoGP is a global league with a loyal, enthusiastic fan base, captivating racing, and a highly cash flow generative financial profile.”
Maffei further emphasized the potential for growth, noting that Liberty Media intends to expand MotoGP’s reach to a wider global audience. The acquisition is expected to bring significant benefits to MotoGP fans, teams, commercial partners, and shareholders alike.
Carmelo Ezpeleta also shared his excitement about the deal, stating, “This is the perfect next step in the evolution of MotoGP. We are proud of the global sport we’ve grown, and this transaction is a testament to the value of the sport today and its growth potential. Liberty has an incredible track record in developing sports assets, and we could not wish for a better partner to expand MotoGP’s fanbase around the world.”
The acquisition is expected to be completed by the end of 2026, subject to the receipt of clearances and approvals by competition and foreign investment law authorities in various jurisdictions. This strategic move is set to enhance Liberty Media’s position in the motorsports industry and pave the way for future growth and innovation in MotoGP.
