Liberty Media, the company that owns Formula 1, is restructuring – and as part of the reorganization, Greg Maffei is stepping down as President and CEO…
Greg Maffei, the boss of Formula One CEO Stefano Domenicali and thus probably the most powerful man in Formula One, will step down from his position as President and CEO of Liberty Media at the end of 2024. The US company announced this on Wednesday as part of a restructuring of the entire company.
Maffei has been with Liberty Media since 2005 and has been CEO of the company since 2006. He will be replaced, at least on an interim basis, by John Malone, the “number one” at Liberty Media. Maffei will step down from his role on December 31, 2024, but will remain in an advisory capacity for a transition period until a permanent successor has been brought up to speed.
Maffei admits that it is “never easy to leave an organization as dynamic as Liberty. But I am optimistic that the timing is right now.” Malone, in turn, thanks Maffei for “making the company better and more valuable to our shareholders.”
Liberty Media is a group with investments in the media, communications, sports and entertainment sectors. Until now, the group was divided into two divisions: the Formula One Group on the one hand and the Liberty Live Group on the other. However, the Liberty Live Group is to be spun off from the group as part of the restructuring that has now been announced.
In doing so, Liberty Media is possibly pre-empting the US authorities, which had recently considered breaking up the group due to antitrust concerns. The events division Live Nation Entertainment was at the center of the antitrust investigation. Malone emphasizes that the restructuring will make the company “simpler and more focused than ever.”
Maffei has a proven track record, based purely on facts and figures. Since he took office, Liberty Media has achieved an annualized growth rate of 17 percent for shareholders, well above the growth rate of the S&P 500 benchmark index (11 percent). Over the entire period, this corresponds to an 18-fold increase in the capital employed.
Motorsport fans will probably remember Maffei for colorful episodes that took place behind the scenes of Formula 1. For example, the abolition of the grid girls, which, according to legend, was due to his wife’s outrage at too much naked skin, or a recent war of words with Formula 1 legend Mario Andretti at the Miami Grand Prix.
The events have no direct influence on the planned acquisition of MotoGP by Liberty Media. All MotoGP assets are to be held in the same portfolio as Formula 1. However, it is not yet clear under which holding company the racing series will end up, and this will now be decided as part of the spin-off of the Liberty Live Group.
