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Mercedes Withdraws From Bid for Alpine 24% Stake

The exit follows a large valuation gap and leaves Otro Capital seeking buyers while Renault’s veto prevents any sale until September.

Overview

  • Talks collapsed Friday when Mercedes decided not to match Otro Capital’s asking price for the 24% holding in Alpine and formally withdrew from the negotiations.
  • Otro reportedly sought about $720 million for the stake, a price that values Alpine at roughly $3 billion, while Mercedes placed the team’s value closer to $2.2–2.4 billion.
  • Renault, which holds 76% of Alpine, retains the right to veto any sale until September and has stepped back from active negotiations for now.
  • A consortium linked to former Red Bull principal Christian Horner and several private equity groups remain potential bidders but any deal will face Renault’s approval and further negotiation over valuation.
  • The episode highlights why teams’ rising valuations matter to investors and suppliers, it underscores Mercedes’ strategic interest in engine-supply economics, and it has renewed paddock concerns about cross-team links and governance.