After a tricky inaugural season, beset with speculation about its financial security, the A1 Grand Prix series has received a second year boost with news that it is to be backed by several major players from the City of London.

Attracted by the success of A1GP concept in its ambitious first campaign, the investors have committed to providing full funding for the series, assuring a strong immediate future for the so-called 'World Cup of Motorsport'.

A1GP has engaged Nomura to raise an institutionally-targeted debt financing prior to an Initial Public Offering to support the growth of the series over the coming years. Meanwhile, leading investment manager RAB Capital plc has acted as lead investor alongside other financial institutions, and committed capital through equity investments and convertible stock to complement the Nomura deal. The financing should mean that A1 Grand Prix is able to commit to a long-term future with sponsors, suppliers, promoters and, more importantly after a sometimes depleted 2005-06 entry, to its teams.

"Since the launch of A1GP in March 2004, the company has gone from strength to strength, but I am delighted that, after a strong first season, we have attracted the support of high-profile investors committed to progressing the series to the next level," co-founder Tony Teixeira commented, "In A1 Grand Prix, we have a unique and innovative product, a fact which has been recognised by RAB Capital plc and Nomura. I would like to thank all parties involved and look forward to a bright future for A1 Grand Prix, supported by these established institutions."

Buoyed by the financial support, the series is now pressing ahead to finalise its 2006-07 schedule, with a calendar announcement expected shortly. The opening round of the new season, confirmed for Zandvoort after the overwhelming support shown for Jos Verstappen and Team Netherlands in 2005-06, has already sold out.

 

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