What's Indycar worth?$?$?$?$

[SarahFan]

Haven't had this discussion in awhile...

Anyone want to take a WAG

[anthonyvop]

With or without IMS?

[SarahFan]

Without

[Chris R]

About half the new value of any equipment they own 5-10% of the future revenues (next 2 years only) of any existing contract (excluding the Indy 500 since that is probably a contract with IMS alone)... My guess is that makes it less than $5 million dollars. The problem is whoever might buy it is beaucoup operating dollars - probably the availability of $100 million in the next 3 years.....

[DBell]

Without

Then I don't think it's worth anything. With a series that, loses money every year and has never made money, is tied long term to the currant tv contract, and is dependent on one race and track that isn't part of the deal, then the question I would ask is "how much are you going to pay me to take it off your hands?".

[Jag_Warrior]

I agree with DBell. The series/business only exists because of the generosity of IMS - and always has. Even with past losses, if it was showing definite signs of growth (revenue, ratings, track attendance, etc.) then MAYBE one could make a case for it being worth something net/net. If you could point to growth in an indicator that would point to a future profit, then that would be one thing. But as it stands, if someone bought the IRL, and the IMS subsidy went away, it would be just like buying one of those office buildings in Dallas years ago for $1, but then you had to pay the property taxes. An empty building with no tenants... and you had the privilege of forking out a check for the property taxes every year. Course, those that were able to hang on for about ten years are probably happy they did. Others got a date with a bankruptcy court judge - they're probably not so happy now.

The only way I can think of it having a positive net present value is if a businessman/group wanted to buy it for its "tear down" value. In other words, someone who had a solid business plan for a racing series, had sponsors and a (good) TV contract already in their pocket. And rather than start a new series, maybe it would be worth if for them to buy the IRL, dissolve the management, fold it into their new series and go from there. Just like a rickety house on a nice piece of property, sometimes you buy something that has questionable (present) value because you think you have a plan for the future. But there is currently little/no demand for another new open wheel formula car series in the U.S. now. So I don't see that happening. But as they say: a fool and his (sponsor's) money...

[anthonyvop]

Without

A top level, North American based, formula car(Open wheel) series without Indy?

Google Champ Car.

[SarahFan]

Your silly Anthony ... Ok I'll play

Lets assume the new owners have built some sort of provision into the purchase that gaurantees they will be the series that runs the I500 for the forseeable future

[Chris R]

Your silly Anthony ... Ok I'll play

Lets assume the new owners have built some sort of provision into the purchase that gaurantees they will be the series that runs the I500 for the forseeable future

It is still approaching zero - due mainly to the huge costs to keep it going and it is pretty hard to trust much of any of parties involved enough to put a real value on anything they say or sign.....

[00steven]

Thank God for Indy...

[Wilf]

Haven't had this discussion in awhile...

Anyone want to take a WAG

Now that the New Hampshire appeal has been resolved, did the value go up or down? :rolleyes: