Porsche, the German car manufacturer, is closing in on the purchase of 50% of the Red Bull team in motor racing’s iconic Formula 1 series, it has been revealed.
Although Porsche’s official entry into F1 through a stake in Red Bull has yet to be formally announced, legal documents have been published by the competition regulator in Morocco that confirm the two parties are on course to unite in a 10-year agreement.
The documents show that a joint venture between the two organizations will initially be created in order to build a new power unit and engine, after which the German brand will buy half of the Red Bull Technology subsidiary (the company that provides Red Bull Racing with its cars).
The supervisory board of Volkswagen (VW) Group, the German giant which owns Porsche, has already given its approval for the brand to get involved in F1, with that decision coming on April 7. Herbert Diess, VW's chief executive, confirmed Porsche will enter the series in early May.
According to Autosport, Porsche will also take an equal share in the actual Red Bull Racing firm itself.
The Moroccan documents suggest the partnership will be formally announced on August 4 and that the relevant authorities were notified of Porsche’s intentions on July 8.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below formBy GlobalData
The relevant rulings are being published because of government legislation in the North African country which means that such applications are automatically published once approved.
The Moroccan anti-cartel authority is involved because the merger needs approval from such bodies around the world to prove that there is nothing untoward in the Porsche-Red Bull tie-up.
It has been reported that the revealing of these details was delayed from earlier in July because VW and Porsche have been waiting to give formal confirmation of their entry into F1.
It has also been suggested that VW is waiting until the FIA, motorsport’s governing body, agrees on new engine regulations for 2026 onwards. This was expected to come at an FIA meeting in mid-June, but delays have meant it is now likely to take place over the next month or so.
Although the Moroccan documents mention Red Bull itself, it is likely that that outfit’s sister team AlphaTauri (which is affiliated with Red Bull) will also use Porsche's power unit to compete in F1. However, the secondary team is said to be likely to remain solely under Red Bull ownership.
Red Bull's premier driver Max Verstappen is currently leading the F1 2022 Drivers Championship, while the team is also out in front at the top of the constructor standings.
Audi, another of VW's automotive brands, is also expected to join F1 as both a constructor and an engine builder but plans on buying an existing team instead of partnering with one.
Reports suggest Audi is in negotiations with the old Sauber team, now operating under the Alfa Romeo brand.