Renault Signs Letter of Intent to Buy Lotus F1 Team, Renault F1 Team is Go for 2016 Season

Lotus F1 Team racing car 1 photo
Photo: Lotus F1 Team
At long last, the French manufacturer agreed to sign a letter of intent to buy the controlling stake in the Lotus Formula 1 Team. 2010 was the last year Renault raced in Formula 1 as a works team. Since then, the company played the role of engine supplier for Lotus F1, Toro Rosso and Red Bull Racing.
Taking over the financially troubled Lotus F1 Team will not be smooth sailing for the Boulogne-Billancourt-based manufacturer. But that is then and this is now, a time we clap our hands for Renault for taking over the almost-dead-and-bloated Lotus from Genii Capital, an investment management and financial advisory team.

With Renault money and proper Formula 1 management, the deal will surely safeguard the future of the motorsport establishment. Despite signing the letter of intent, Lotus still has a problem to take care of – an unpaid tax bill from HMRC. Happily for the British F1 team, the bill was adjourned. Furthermore, good guy Renault loaned Lotus to cover the tax bill.

With its headquarters based in Enstone, the Lotus Team couldn't replicate the success of Renault F1, especially the era when Fernando Alonso was on the French company's payroll. But despite Alonso's world championship double from 2005-2006, Renault as an engine supplier tasted success with Red Bull Racing and Sebastian Vettel in 2010, 2011, 2012, and 2013. Starting with the 2014 season, it all came tumbling down for all teams propelled by Renault engines. Or power units, like they're called nowadays.

This strategic move is great news not only for the Formula 1 fans that wanted Renault to return as a works team but also for the men and women working for Lotus F1. During last weekend's Japanese Grand Prix, Bernie Ecclestone himself had to step in to feed the outfit's staff. The situation is that bad. With Renault backing, the soon-to-be-former Lotus F1 Team won't have to go through such a humiliation ever again.
If you liked the article, please follow us:  Google News icon Google News Youtube Instagram
About the author: Mircea Panait
Mircea Panait profile photo

After a 1:43 scale model of a Ferrari 250 GTO sparked Mircea's interest for cars when he was a kid, an early internship at Top Gear sealed his career path. He's most interested in muscle cars and American trucks, but he takes a passing interest in quirky kei cars as well.
Full profile


Would you like AUTOEVOLUTION to send you notifications?

You will only receive our top stories