The World Rally Championship (WRC) is a Championship and series running under regulations from the FIA. The media, television and marketing is controlled and owned by North One Sport, which in turn is owned by Convers Sports Initiatives (CSI).
In the past week, CSI has seen a number of its concerns suffer as a result of financial regulations. Apart from managing the WRC, CSI also owns Portsmouth Football Club, and both these concerns are now under pressure as CSI’s boss Vladimir Antonov is under investigation. Last week, in fact, he was arrested for his involvement in an international banking saga.
Here is a media statement from North One Sport on http://www.wrc.com:
“In response to yesterday’s announcement that parent company Convers Sports Initiatives (CSI), has been placed into administration, North One Sport would like to categorically confirm that the business is a stand-alone subsidiary and that it is not in administration.
“The priority is to ensure that North One Sport continues to successfully promote the WRC to fans, stakeholders and partners.
“Following a spectacular 2011 season we look forward to an exciting 2012 Calendar starting with the return of the iconic Rallye Automobile Monte Carlo in January.”
Here is a media statement from Peter Kubik, a partner at UHY Hacker Young accountants who have been appointed as Administrators, that confirms that the above statement from North One Sport might be slightly incorrect: “On the 25th of November 2011 my partner at UHY Hacker Young Andrew Andronikou and I were appointed as Joint Administrators to Convers Sports Initiative plc (CSI).
“CSI own a number of sports teams, media franchises and entertainment rights businesses.
“We were appointed as Administrators after uncertainty arose over the future of CSI. CSI has a number of sports related assets and we are very confident of finding interested buyers for these subsidiaries. Our aim is to ensure that the sale process is as smooth as it possibly can be.
“We will now be undertaking a period of due diligence at CSI and once that has been completed we will be in a better position to answer questions.”
The FIA is said to be monitoring the situation. The ramifications of this situation are enormous…