Post image for Mercedes Swallows Brawn GP Whole

Mercedes Swallows Brawn GP Whole

by F1Fan on November 16, 2009

The rumors of an investment by Meredes in Brawn GP were almost correct, however, with the recent withdrawl from F1 of major Auto Manufactures Toyota, BMW and Honda and the challenging times the Automobile industry is facing these days I doubt that many people would have forseen Mercedes entry into Formula 1 with a works team and purchasing the majority ownership in Brawn GP.

This is exactly what was announced by Daimler AG today:

“Mercedes-Benz will enter the Formula 1 World Championship with its own team, beginning with the 2010 season, and Daimler AG and McLaren Group will change their form of cooperation with effect as of 13 November 2009.

Daimler AG together with Aabar Investments PJSC will take over 75.1 per cent of the Brawn GP team, with Daimler taking 45.1 per cent and Aabar 30 per cent. The rest of the 24.9 per cent will remain with the current stakeholders. With 9.1 per cent, Aabar is the biggest single shareholder of Daimler AG. This transaction is subject to the approval of the EU and the Swiss cartel authorities.”

It seems as though this decision was made possible in part due to the “Resource Restrictions” set by FOTA and FIA, effectively limiting expenditure for the design, construction and running of an F1 car and the potentially significantly higher income available for a Formula 1 team generated by the commercial rights of the racing series following the signing of the new Concorde Agreement earlier this year.

The press release went on to imply that the Brawn GP team would be rebranded as the “Silver Arrows Mercedes Grand Prix” team, so it looks as though Brawn GP will go down in History as the only team to win the Constructors and Drivers championship in the first and only year of its existence.

Ross Brawn, will continue to manage the team under the newly created Mercedes Grand Prix organization but will report into Mercedes-Benz Motorsport, headed by their Vice-President, Norbert Haug. Haug, a familiar figure to F1 fans who up until now could always be found on the McLaren Pit Wall.

Announcing the new ownership structure Ross Brawn made the following comments:

” Brawn GP has been through an incredible journey over the last 12 months. From fighting for our survival to forging a strong relationship with Mercedes-Benz High Performance Engines, winning both the Constructors and Drivers World Championships, and now accepting Daimler and Aabars offer to buy our team, which will secure its future”, Team Principal Ross Brawn looks back on a difficult beginning of the year which eventually turned into an extremely successful season.

“Both I and my fellow Directors at Brawn GP are incredibly proud of our staff, drivers and everyone associated with our team and thank them for their commitment, outstanding teamwork and their focus on achieving results in sometimes difficult circumstances. The senior management group will remain in place to lead our team and on behalf of everyone at Brawn GP, we are honoured to be representing such a prestigious brand as Mercedes-Benz in Formula One next year and will be working together to do our best to reward their faith in our team.”

So the question is now, where does this leave Jenson Button? It has been rumored that Norbert Haug was very keen on having a German driver as back up for Lewis Hamilton at Mclaren. So this may really put the cat among the pigeons.

Check back on my next post for how this will effect the Mercedes McLaren relationship.

Be Sociable, Share!

Comments on this entry are closed.

Previous post:

Next post: