Liverpool Owners Linked with Move for Cadillac Formula 1 Team

Major questions have surfaced surrounding the future of majority ownership in Cadillac's new Formula 1 team. According to media reports, Mark Walter's TWG Global is considering selling a portion of its stake, with Liverpool owners Fenway Sports Group emerging as a leading candidate to acquire it.

American billionaire Mark Walter and entities under his control are currently the subject of a federal investigation by the US Department of Justice. Authorities are examining whether his insurance firms, including Delaware Life Insurance Company and Clear Spring Life and Annuity, improperly invested policyholders' funds into affiliated businesses. The inquiry involves approximately $20 billion in transactions, consisting of loans and equity investments that were allegedly not properly declared.

It is alleged that some of these resources helped fuel the expansion of Walter's extensive sports empire. Over the years, this has included MLB's Los Angeles Dodgers, the NBA's Los Angeles Lakers, a 12.8% stake in Chelsea FC, and the WNBA's Los Angeles Sparks. TWG Global has strongly denied any wrongdoing.

TWG Global is the parent company of TWG Motorsports, which holds a majority stake in the Cadillac F1 team, alongside outfits in NASCAR, IndyCar, IMSA, and Australia's Supercars Championship. General Motors, the parent company of the Cadillac brand, owns a minority stake, provides infrastructure and engineering personnel, and is developing future power units for the project.

Walter has already taken steps to sell his stakes in the Lakers and Chelsea, while the Los Angeles Sparks have also been put up for sale. Sports business publication Sportico reports that the businessman is exploring the sale of a portion of his majority holding in Cadillac, with the Formula 1 team valued at nearly $3 billion.

The Washington Post adds that Fenway Sports Group, led by John Henry, has registered an interest in a deal. The consortium, which owns Liverpool and the Boston Red Sox, recently sold a 38% stake in the English club and is already involved in motorsport as a 50% co-owner of NASCAR outfit RFK Racing.

Although TWG Global initially dismissed the prospect of selling the Formula 1 team, there are strong grounds to believe the outfit could be the next asset offloaded if Walter is urgently forced to raise capital to cover the disputed intercompany loans.

In contrast, the Los Angeles Dodgers—purchased by Guggenheim Baseball Partners in 2012 for $2.15 billion—has become the crown jewel of the billionaire's portfolio. Driven by lucrative broadcast deals and an explosion in popularity following the signing of Japanese superstar Shohei Ohtani, the Dodgers became the first baseball franchise to generate $1.1 billion in gross revenue in 2025. With a market valuation of around $7.8 billion according to Forbes and back-to-back World Series titles in 2024 and 2025, it is the last asset Walter would consider selling.

The situation for Cadillac in Formula 1 is markedly different. The team joined the grid only this season following lengthy negotiations, paying a $450 million anti-dilution expansion fee. To date, TWG Global and General Motors have invested over $1 billion to construct modern headquarters in Silverstone, UK, and Fishers, Indiana. Although the team has enjoyed a relatively solid start on track despite reliability issues, fighting for top positions remains a long-term endeavor.

At the same time, Formula 1's global boom and the implementation of the cost cap have sent team valuations soaring to record levels, turning top operations into highly profitable businesses. The grid's restriction to just 11 teams also explains the hefty $3 billion valuation for the newly formed Cadillac team, which already boasts a solid foundation and the full backing of General Motors.

TWG Global has not yet officially responded to requests for comment, while General Motors representatives declined to comment on recent media reports.