An announcement has been made this morning by the Williams F1 team to say that effective imeditly they have droped their official sponsor RoKit. They said:
“The 2020 Formula 1 season has, of course, been disrupted due to the COVID-19 pandemic, and this will have an impact on our commercial rights income this year. The Team have also served notice to terminate its relationship with its title partner, ROKiT, and major sponsor, ROK Drinks. In common with many other businesses, we have taken extensive action to mitigate, including a prolonged furlough period for much of our staff. As this awful global crisis recedes, everyone at Williams Racing is looking forward to the start of the new season.”
Due to their recent results finishing last in the constructors championship for several years, and a loss in 2019 of reportedly £13million as apposed to a profit of £16Million the previous year, Williams are now looking at alternative measures to continue on racing or and not limited to selling the business as a whole. They continued
"As part of this new strategic direction, the WGPH board is undertaking a review of all the various strategic options available to the Company. Options being considered include, but are not limited to, raising new capital for the business, a divestment of a minority stake in WGPH, or a divestment of a majority stake in WGPH including a potential sale of the whole Company. Whilst no decisions have been made regarding the optimal outcome yet, to facilitate discussions with interested parties, the Company announces the commencement of a "formal sale process"
These are particularly hard times for everyone right now but it would be a great shame if we didn't see one of the oldest teams return back to the sport following these challenging times.
It is encouraging though as they went on to say that they are talking with several parties with regards to investment into the company.
"The Company is not in receipt of any approaches at the time of this announcement and confirms that it is in preliminary discussions with a small number of parties regarding a potential investment in the Company. There can be no certainty that an offer will be made, nor as to the terms on which any offer will be made. The WGPH board reserves the right to alter or terminate the process at any time and if it does so it will make an announcement as appropriate. The WGPH board also reserves the right to reject any approach or terminate discussions with any interested party at any time.
Following this announcement, the Company is now considered to be in an “offer period” as defined in the Takeover Code, and the dealing disclosure requirements summarised below will apply. Further announcements regarding timings and procedures for the formal sale process will be made as appropriate.
While the Company has faced a number of challenges, Williams currently remains funded and ready to resume racing when the calendar allows in 2020. The WGPH board believes that the strategic review and formal sale process is the right and prudent thing to do in order to take time to consider a full range of options and put the Formula 1 team in the best possible position for the future."