'There has to be a fun element too' – Golf star Rory McIlroy on why he picked Alpine as his latest investment | Canada News Media
Connect with us

Investment

‘There has to be a fun element too’ – Golf star Rory McIlroy on why he picked Alpine as his latest investment

Published

 on

Alpine received a huge financial boost earlier this year when a host of the world’s biggest sports stars became strategic investors. One of those athletes was world number two golfer Rory McIlroy, who made an appearance in Austin back in October to get a closer look at his latest investment.

It might seem strange for a golfer to want to pump his hard-earned cash into a Formula 1 team – especially one that has become a perennial mid-table finisher – but when Alpine presented McIlroy with their plans for the future, the self-confessed F1 fan was sufficiently impressed to sign on the dotted line and make this his 22nd investment through his investment vehicle Symphony Ventures over the last five years.

“I think it’s a great opportunity,” he says. “First of all, I’ve always been a big fan of F1. There’s been quite a bit of Northern Irish/Irish connection there from [former team boss] Eddie Jordan and [1999 championship runner up] Eddie Irvine back in the day and it’s always been something I’ve followed.

“I guess when this opportunity came up, it was not something I’d thought of before – investing in an F1 team or any sports team for that matter – but I just think with the popularity of F1, how much it’s booming, particularly in the United States… I’ve invested in a few things, but I feel like this has more of a story and a journey.

“I know that whenever I play, I want my performance to be at the highest level. To see everything that goes into trying to compete in F1, and trying to move up the grid, it’s something that resonates with me. It’s a great experience, it’s something really cool to be involved in but at the same time, with an investment, you want to try and make some money along the way.

“When we got the pitch deck from Alpine, they shared their thoughts about the future, and what they think they can do. They have a really cool Academy and growth [plan] for the future – they are thinking about nurturing the next generation of drivers coming along. It felt like they had a really good mindset around it, a lot of long-term strategy. I saw a great opportunity to get involved.”

Alpine finished sixth in the constructors’ championship this season, the French manufacturer sitting in no-man’s land – 160 points adrift of fifth-placed Aston Martin and 92 clear of Williams in seventh. They’ve hovered around the middle of the table for several years now, and have struggled to find a way to breakthrough into the top three.

So, they’ve mixed things up, securing a €200m cash injection from a group of investors, including Hollywood actor Ryan Reynolds – and the string of sports stars that includes Kansas City Chiefs stars Patrick Mahomes and Travis Kelce, and former heavyweight champion boxer Anthony Joshua.

They hope that this high-level sporting expertise and proven business track record – Reynolds has rejuvenated Welsh football team Wrexham, guiding them back to the English Football League after 15 years – can help Alpine make that step into the big time.

There is a huge amount of potential with the team – and that was one of the most attractive factors for McIlroy. “When you dig down into the numbers, there are some teams on the grid who don’t have a tonne of growth,” he says. “Mercedes, Ferrari, Red Bull [have] huge valuations.


McIlroy meets the Alpine race team in Austin

“It’s trying to balance between making a smart investment and also being really engaged in the journey and trying to develop relationships with people. I didn’t look at any other teams. This was the only opportunity that I looked at.

“Once I talked to a few people, we all thought it was a great idea. I’ve known for a while, we signed the terms a couple of months ago. So I’ve been excited to get to a race and meet everyone and really feel part of the team.”

The Northern Irishman, who was part of Europe’s triumphant 2023 Ryder Cup team, spent time with Alpine senior management, the squad’s drivers Pierre Gasly and Esteban Ocon, and inside the garage with engineers and mechanics to fully immerse himself.

He intends to come to more races (when time allows around his golfing commitments), and he would also like to spend time at the team’s factory at Enstone in the UK “to get a bit of a different knowledge of what goes into putting cars on track”.

It’s clear Mcilroy sees the sporting benefits of being in another elite sport world. He spoke about how much he and his Ryder Cup team mates learned when they sat down with 24-time Grand Slam singles’ champion Novak Djokovic.

“You’re picking this guy’s brain; he’s the best ever in his sport, and you can learn things from that. Sharing ideas and thoughts is a cool thing.” By being involved in the world of F1, McIlroy can do that on a regular basis.

And while the point of investment is to make money at the end of it, it’s clear Mcilroy wants more out of this Alpine project. He wants to immerse himself in the team and go along for the ride.

“We all have different opportunities to invest in different things,” he says. “I’ve done investments before where I’ve made good returns – you put money in, you wait three years and you get money out again, but there’s no real relationship with the business. Here, I feel like you can start to develop some cool relationships, have some great experiences.


Golfing royalty meets F1 royalty: Jackie Stewart and Rory McIlroy on the grid in Austin

“I feel like every opportunity, you don’t have to squeeze every last dollar out of every situation. There has to be a fun element of it too, which I’ve realised over the last four or five years with investing. I just thought it was a cool thing to get involved in.”

One cool thing he is a step closer to doing is getting behind the wheel of a Formula 1 car, not least because the team run a 2012-spec car for the purpose of giving people an opportunity to drive F1 machinery. Is that something the golfer, who this year beat Tiger Woods to take the PGA Tour’s $15m prize for generating the most media interest for the first time, fancies doing?

“Yes, absolutely,” he says. “I love cars. I maybe don’t love going as fast as I used to! I’ve done some track days and I’ve really enjoyed it.

“Getting behind the wheel of an F1 car is obviously a completely different level but I’d love to one day if the opportunity presents itself. I’d need to look at my insurance terms though – I’m not sure it would allow me to, but I’m sure there’s a way!”

 

Source link

Continue Reading

Investment

Tesla shares soar more than 14% as Trump win is seen boosting Elon Musk’s electric vehicle company

Published

 on

 

NEW YORK (AP) — Shares of Tesla soared Wednesday as investors bet that the electric vehicle maker and its CEO Elon Musk will benefit from Donald Trump’s return to the White House.

Tesla stands to make significant gains under a Trump administration with the threat of diminished subsidies for alternative energy and electric vehicles doing the most harm to smaller competitors. Trump’s plans for extensive tariffs on Chinese imports make it less likely that Chinese EVs will be sold in bulk in the U.S. anytime soon.

“Tesla has the scale and scope that is unmatched,” said Wedbush analyst Dan Ives, in a note to investors. “This dynamic could give Musk and Tesla a clear competitive advantage in a non-EV subsidy environment, coupled by likely higher China tariffs that would continue to push away cheaper Chinese EV players.”

Tesla shares jumped 14.8% Wednesday while shares of rival electric vehicle makers tumbled. Nio, based in Shanghai, fell 5.3%. Shares of electric truck maker Rivian dropped 8.3% and Lucid Group fell 5.3%.

Tesla dominates sales of electric vehicles in the U.S, with 48.9% in market share through the middle of 2024, according to the U.S. Energy Information Administration.

Subsidies for clean energy are part of the Inflation Reduction Act, signed into law by President Joe Biden in 2022. It included tax credits for manufacturing, along with tax credits for consumers of electric vehicles.

Musk was one of Trump’s biggest donors, spending at least $119 million mobilizing Trump’s supporters to back the Republican nominee. He also pledged to give away $1 million a day to voters signing a petition for his political action committee.

In some ways, it has been a rocky year for Tesla, with sales and profit declining through the first half of the year. Profit did rise 17.3% in the third quarter.

The U.S. opened an investigation into the company’s “Full Self-Driving” system after reports of crashes in low-visibility conditions, including one that killed a pedestrian. The investigation covers roughly 2.4 million Teslas from the 2016 through 2024 model years.

And investors sent company shares tumbling last month after Tesla unveiled its long-awaited robotaxi at a Hollywood studio Thursday night, seeing not much progress at Tesla on autonomous vehicles while other companies have been making notable progress.

Tesla began selling the software, which is called “Full Self-Driving,” nine years ago. But there are doubts about its reliability.

The stock is now showing a 16.1% gain for the year after rising the past two days.

The Canadian Press. All rights reserved.

Source link

Continue Reading

Investment

S&P/TSX composite up more than 100 points, U.S. stock markets mixed

Published

 on

 

TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.

The S&P/TSX composite index was up 103.40 points at 24,542.48.

In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.

The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.

The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.

The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.

This report by The Canadian Press was first published Oct. 16, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

The Canadian Press. All rights reserved.

Source link

Continue Reading

Economy

S&P/TSX up more than 200 points, U.S. markets also higher

Published

 on

 

TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.

The S&P/TSX composite index was up 205.86 points at 24,508.12.

In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.

The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.

The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.

The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.

This report by The Canadian Press was first published Oct. 11, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

The Canadian Press. All rights reserved.

Source link

Continue Reading

Trending

Exit mobile version