AMuS: 'Alfa Romeo deal with Andretti has been shelved'

23-10-2021 15:15 | Updated: 23-10-2021 16:29
F1 News
AMuS: 'Alfa Romeo deal with Andretti has been shelved'

Michael Andretti reportedly wants to take over the Alfa Romeo team. An announcement was expected this weekend, but according to Auto, Motor und Sport the deal has been put on hold for now.

Within the paddock there is not only talk of the upcoming Grand Prix and the championship battle, there have also been rumours for some time that Michael Andretti wants to get his own Formula 1 team, by taking over the Alfa Romeo team for 80 percent, together with a group of investors. On Wednesday Andretti Autosport announced via Twitter that there would be more news soon, but since then it has been quiet from the camp of the American.

According to Auto, Motor und Sport that's because the deal's off. At least, for the time being. The reliable publication has heard from its sources that the deal between Andretti and Alfa Romeo has been put on hold and the dream of the American racing legend will not come true.

Price tag puts a spanner in the works

The reason why the deal might have been cancelled is because of money problems. Not for Andretti himself, but for the rest of the investors. It is said that the Alfa Romeo team has a price tag of 350 million dollars. On top of that there is a bank guarantee of 250 million dollars.

This guarantee is necessary to ensure that the team can continue racing in Formula 1 for the next five years. With 50 million dollars a year the gap between the team's income and the budget ceiling can be closed, provided no other sponsors can be found. The current owners of Alfa Romeo, the Rausing family, do not want their beloved team to become 'an object of speculation' and want to ensure their future in Formula 1.

The 600 million euros that have to be coughed up seem to scare off investors. The Alfa Romeo team has not been informed by the current owner that there is an intention to sell. According to Auto, Motor und Sport this is a clear sign that no agreement has been reached with Andretti. Whether the deal has actually been cancelled, we will probably find out this weekend.

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