Hollywood star Ryan Reynolds is expanding his business interests in the world of sports.
The actor’s investment firm, Maximum Effort Investments – whose other backers include actors Rob McElhenney and Michael B. Jordan – is joining forces with private equity firm RedBird Capital Partners and Otro Capital to buy a 24% stake in the Alpine Formula 1 racing team. The partners are paying the team’s owner, Groupe Renault, around 200 million euros ($218 million) for the stake, valuing the team at around $900 million.
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The deal continues a trend of rising valuations for sports teams and rights, whether mainstream or more niche, as legacy media companies and tech giants compete for the value of live events that attract attention.
The partners said the deal will help accelerate Alpine Racing’s growth plans and visibility. Interest in Formula 1 has grown rapidly in the US, thanks in large part to the popularity of Netflix’s 5-season docuseries Drive to survivewhich chronicles the sport both on and off the track.
Alpine is a mid-level team that has seen an uptick in recent years. In the 2022 season, he finished fourth out of ten teams. Led by French drivers Pierre Gasly and Esteban Ocon, Alpine currently sits fifth in the 2023 Constructors’ Championship standings.
“This association is an important step to improve our performance at all levels,” Alpine CEO Laurent Rossi said in a statement on Monday. “Otro Capital, RedBird Capital Partners and Maximum Effort Investments, as international players with solid experience in the sports industry, will bring their recognized expertise to boost our media and marketing strategy, essential to support our sports performance over the long term. term.
Reynold’s first foray into sports ownership came in November 2020 when he and McElhenney teamed up to buy Welsh football club Wrexham AFC. They then created bankable content from that experience – while raising their team’s profile – with series of documents Welcome to Wrexham, airing on FX. The duo have undeniably helped rejuvenate the squad, which earned promotion to the English Football League for the 2023 season for the first time in 15 years.
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