* CVC stake sales ease pressure for F1 flotation
* Plan to list in Singapore remains on hold
* No heir apparent for commercial chief Ecclestone
LONDON, Sept 21 (Reuters) - Formula One cars will roar
around Singapore's streets this weekend, but the prospect of the
motor racing business floating on the stock market there this
year has receded following stake sales by its main private
equity backer.
The owners of Formula One had been preparing for a $3
billion initial public offering (IPO) in June but decided to
hold off as global markets tumbled and investor mood soured
after Facebook's plunge in value following its flotation.
Bernie Ecclestone, the sport's commercial chief, said then
that Formula One would wait until the time was right before
floating a business which has the long-term commercial rights to
the fortnightly series of grand prix races.
The championship has reached Singapore but the headlines
will be provided by the drivers rather than the businessmen
drawn to the island nation for the event.
A source involved in Formula One told Reuters on Friday
there were no immediate plans to launch an IPO.
Private equity firm CVC, the largest shareholder in Formula
One since 2006, has this year quietly sold down its stake to
around 35.5 percent from 63 percent without the fanfare that
would have come with a flotation.
CVC has received $2.1 billion through sales to three new
investors - U.S. groups Waddell & Reed and BlackRock
and Norway's Norges Bank Investment Management.
Formula One is believed to have preparations in place that
can be revived at short notice should it decide to press ahead
with the IPO but is content to bide its time after broadening is
investor base.
"They don't have to do anything," said a second source close
the business.
"As they go into the last quarter of the year they have a
lot more options than they did at the beginning of the year."
Flotation in Singapore would allow Formula One to tap into
Asian appetite for luxury brands and interest in sport.
However, its owners may also have been given pause for
thought by the example of English soccer club Manchester United
.
United listed in New York in August after ditching plans to
float in Asia. The deal valued the club at $2.3 billion but
shares have since fallen by more than 10 percent.
Potential investors would also press Formula One on its
planning for when Ecclestone was no longer in charge.
Ecclestone, 81, has transformed the sport from a pastime for
wealthy enthusiasts into a money-spinner that is expected to
generate revenues of $2 billion this year.
Despite his age, the billionaire calls the shots in a
business in which he retains a five percent stake and there is
no obvious successor.
Formula One appointed Peter Brabeck as its chairman earlier
this year. Brabeck also chairs Swiss food group Nestle
and his appointment was seen as strengthening the board's
business credentials ahead of any IPO.
