Fenway Sports Group targets majority stake in Cadillac Formula 1 team

FSG eyes Cadillac stake as Walter faces probe

Fenway Sports Group is targeting a majority stake in the Cadillac Formula 1 team to expand its motorsport presence. The group owns the Boston Red Sox, Liverpool FC, and NASCAR team RFK Racing. FSG recently sold 38% of its Liverpool stake to a consortium that includes Amazon founder Jeff Bezos. Mark Walter, the 66-year-old CEO of TWG Global, is considering a sale of his controlling interest in the Cadillac operation. Sportico and the Wall Street Journal report the team valuation at $3 billion, which is approximately £2.24 billion. This sale follows Walter’s decision to sell his controlling stake in the NBA’s Los Angeles Lakers and a 12.8% stake in Chelsea FC. The Washington Post reports that FSG has held talks about buying a majority stake in Cadillac. Federal investigators examine whether $20 billion in loans and investments were not adequately disclosed. The investigation by the US Department of Justice and the Securities and Exchange Commission focuses on whether Walter’s insurance companies, including Delaware Life, Clear Spring and EquiTrust, improperly invested $20 billion in policyholder funds into his affiliated businesses. TWG Global denies any wrongdoing regarding these transactions. The bid from FSG is the most direct move toward stabilizing the struggling American outfit.

Cadillac performance and infrastructure

Cadillac joined the Formula 1 grid this year and currently sits at the bottom of the constructors’ championship. Cadillac has yet to score a point in its debut season. This lack of points proves the team is uncompetitive. Valtteri Bottas achieved 13th place at the Chinese Grand Prix, which remains the team’s best result to date. The team is evaluating a promotion for Colton Herta to replace Bottas for next season. Herta will complete his sixth practice session at the Sao Paulo Grand Prix this weekend to secure the superlicence points he needs to race in F1. Cadillac maintains headquarters in Silverstone, UK, and Fishers, Indiana.

General Motors holds a minority share in the team and provides infrastructure and personnel. The team paid a $450 million anti-dilution fee to join the series as an 11th expansion team. TWG Global and General Motors have reportedly invested over $1 billion into the team’s development. The team recently announced a contract extension for Sergio Perez that keeps the Mexican driver with the squad until the end of the decade. Cadillac is still working to confirm its full driver line-up for 2027.

TWG Global asset shifts

Mark Walter is looking to offload parts of the Cadillac F1 holding to raise capital following investigations into his insurance businesses. TWG Motorsports, the parent company of the Cadillac F1 team, also owns squads in NASCAR, IndyCar, IMSA, and Australian Supercars. Walter’s group, Guggenheim Baseball Partners, purchased the LA Dodgers for $2.15 billion in 2012. The Dodgers reached $1.1 billion in gross revenue in 2025 after signing Shohei Ohtani, and the team won back-to-back World Series championships in 2024 and 2025. This revenue has elevated the Dodgers to the same financial level as franchises such as Real Madrid, FC Barcelona, and the Dallas Cowboys. The Dodgers valuation reached $7.8 billion according to Forbes. Walter’s group also owns the LA Sparks WNBA team, which is also up for sale. The probe into the management of insurance funds, which involves the potential improper use of funds to expand his sports empire, could force Walter to replace related-party loans with fresh capital. This potential sale of Cadillac F1 follows Walter’s previous moves to sell his stake in the Los Angeles Lakers and the LA Sparks.