Donington operator in administration

Wednesday, 18 November 2009 16:07

Donington Ventures Limited, the firm that attempted to bring the British Grand Prix to the historic Leicestershire venue, has gone administration.

Businessman Simon Gillett’s company, which held a 150-year lease to operate the Donington Park circuit, last month lost the right to stage the blue-riband British event from 2010 after failing to come up with the required funds.

Its attempts to raise the funding to complete its partly-started redevelopment programme plunged the track operator into financial difficulties, with a last-ditch bid to raise £135m from a bond issue having been dropped.

Donington Park issued a statement on Wednesday afternoon announcing that DVLL had fallen into administration, with its affairs now being handled by corporate recovery specialists Begbies Traynor.

One of the partners at the company charged with overseeing the administration process, Mr Nigel Price, hopes a buyer can be found which would allow the circuit to attempt to hold the British GP in 2011.

"This need not be the end of Formula 1 racing at Donington,” he said.

"We are certainly hopeful that a 2011 Grand Prix could take place at the site.

"We are looking for a purchaser for the business and the potential opportunity to bring Formula 1 to this part of the Midlands by funding the work that needs to be carried out to the circuit.

"It still remains a fantastic location – next to an airport and main motorway connections.

"It needs people of vision to get the dream to the starting grid and we would be very interested in talking to interested parties."

Although Formula 1 supremo Bernie Ecclestone indicated in the summer that the British GP would revert to long-time home Silverstone if Donington’s plans fell through, no agreement has yet been reached over the 2010 race despite several rounds of talks.

Silverstone has made it clear it will only sign an agreement that is financially viable for the circuit and gives long-term stability.


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