Force India Formula 1 team goes into administration

The Force India Formula 1 team went into administration on Friday evening after a hearing at the High Court in London

Force India Formula 1 team goes into administration

The process in effect allows the team to carry on operating while a deal is concluded with a potential new owner.

Deputy team principal Bob Fernley, who stayed in London for the hearing instead of travelling to the Hungarian Grand Prix, told Autosport: "An administrator was appointed by the court for Force India F1 this evening."

No other official comment has been forthcoming from the team so far.

Force India has faced an increasingly tight financial squeeze this season, with driver Sergio Perez calling the situation "critical" on Thursday - especially as the team could not afford to bring developments to the car.

The team has owed money to several creditors, notably engine and gearbox supplier Mercedes and Perez himself.

It is understood that both parties were involved in the action that led to Friday's developments.

Several potential buyers and investors have been connected to the team in recent months, notably Lawrence Stroll - father of Williams driver Lance.

Force India chief operating officer Otmar Szafnauer had said on Friday that new investment was expected soon.

"I think it's imminent," he said. "I know there's discussions going on in the background and I'm not privy to those because it's a shareholder issue. I'm not a shareholder otherwise I would know more. It will be very soon."

Asked about potential administration, Szafnauer told Autosport: "This is part of the process of the bigger picture."

Main shareholder and team principal Vijay Mallya has always maintained that he was not actively trying to sell the team, but that he would have to consider a serious offer.

Earlier this month he had insisted that no acceptable buyer at the right price was on the horizon, and that he was waiting for the right deal to come along.

"Whether it's a sporting business a service business or any other business, there's a value," he told Autosport at the British GP.

"If somebody comes up and offers you a damn good price and a very good value, you must learn to get rid of the emotion, put on a commercial hat, and look at it seriously. Because such an opportunity may not come again.

"I had no such proposition in front of me. I want to see cash on the table.

"Until I see cash on the table, I don't believe anything.

"In 10 years in F1 there have been too many people coming and wanting to buy the team.

"Everyone who walks through this paddock suddenly wants to own an F1 team. They don't realise the hard work involved.

"If it was like the old Spyker, quite content to run around in 21st and 22nd with no ambition to get out of Q1, then fine.

"But for a team like us it's bloody hard work for everybody."

Asked about the situation with Mercedes, Mallya replied: "All I can say is Mercedes got a fat cheque two weeks ago."

shares
comments
Troubled Force India F1 team says crucial investment 'imminent'

Previous article

Troubled Force India F1 team says crucial investment 'imminent'

Next article

Force India Formula 1 team administrators working 'urgently'

Force India Formula 1 team administrators working 'urgently'
Load comments

About this article

Series Formula 1
Teams Force India
Author Adam Cooper
Why Bottas feels the time has come to be “more selfish” Plus

Why Bottas feels the time has come to be “more selfish”

We’ve seen five distinct versions of Valtteri Bottas at Mercedes as he’s tried to fulfil his own ambitions while being a consummate team player – two difficult, competing missions which have been challenging to reconcile. Speaking exclusively to STUART CODLING, Bottas explains his highs and lows… and why he still believes he can be world champion

Does Aston have a case in F1 2021’s big technical row? Plus

Does Aston have a case in F1 2021’s big technical row?

Aston Martin claims Formula 1’s latest technical tweaks have cost it competitiveness – and that it’s the innocent victim of a regulatory stitch-up aimed at pegging back Mercedes. But is any of this actually true? It depends on who you ask, says STUART CODLING

How long can F1 2021's brewing title battle stay clean? Plus

How long can F1 2021's brewing title battle stay clean?

Lewis Hamilton and Max Verstappen have been evenly matched so far in the 2021 Formula 1 title race. Neither has been afraid to get aggressive against each other on track, teeing up an enthralling contest as the year unwinds. But is their rivalry destined to end in broken shards of carbon fibre?

Formula 1
May 13, 2021
What the Spain result tells F1 about the next phase of the Mercedes/Red Bull title fight Plus

What the Spain result tells F1 about the next phase of the Mercedes/Red Bull title fight

OPINION: Lewis Hamilton and Mercedes have recovered from their pre-season woes to take three wins from the opening four races of 2021. But each time Red Bull and Max Verstappen have pushed them hard. So, what clues did the latest round of that battle – the Spanish Grand Prix – tease about the next stage of the season?

Formula 1
May 12, 2021
How Brabham’s one-hit wonder was boxed into a corner Plus

How Brabham’s one-hit wonder was boxed into a corner

The Brabham BT46B raced once, won once, then vanished – or did it? STUART CODLING reveals the story of the car which was never actually banned…

Formula 1
May 11, 2021
The changes Barcelona needs to provide a modern-day F1 spectacle Plus

The changes Barcelona needs to provide a modern-day F1 spectacle

Formula 1’s visits to Circuit de Barcelona-Catalunya over recent years have been met with familiar criticisms despite tweaks here and there to the track to improve racing. With the 2021 Spanish Grand Prix largely going the same way, proper solutions need to be followed to achieve F1’s wider targets

Formula 1
May 10, 2021
Spanish Grand Prix Driver Ratings Plus

Spanish Grand Prix Driver Ratings

Often described as Formula 1's laboratory, the Circuit de Catalunya-Barcelona gave the clearest demonstration yet of the pecking order in 2021. And it's the key discrepancies from that order which illuminate who is excelling, and who needs to hit the reset button

Formula 1
May 10, 2021
How Red Bull’s deja vu set Hamilton on the winning path in Spain Plus

How Red Bull’s deja vu set Hamilton on the winning path in Spain

An aggressive first corner move from Max Verstappen appeared to have set the Red Bull driver on course for victory in the Spanish Grand Prix. But canny strategy from Mercedes - combined with the absence of Red Bull's number two from the lead group - allowed Lewis Hamilton to pull off a demoralising reversal

Formula 1
May 10, 2021