Otro Capital holds onto Alpine stake after Mercedes talks break down

A Deal That Never Crossed the Line

Otro Capital is holding onto its stake in the Alpine Formula 1 team after negotiations with Mercedes Grand Prix Ltd collapsed over a fundamental disagreement on valuation. The two sides have now walked away from the table, with no further discussions ongoing with any alternative buyers.

The 24% stake was originally acquired by the Otro Capital-led consortium back in 2023, in a transaction that valued Alpine at $900 million. Exploration of a potential sale began in late 2025, with Mercedes Grand Prix Ltd — the company that owns the Silver Arrows operation — identified as the preferred bidder by Renault, Alpine's controlling majority shareholder with a 76% stake.

Renault's Veto and the Valuation Impasse

Renault's involvement was a critical factor throughout the process. The French manufacturer held the ability to veto any sale until September of this year, and despite its appetite for a deal with Mercedes, an agreement on price could not be reached. Both sides remained at odds over the value of the Otro stake, and with no bridge found between their respective positions, talks have now ended entirely.

Sources on both sides had previously confirmed the impasse, and Otro Capital is now understood to be in no rush to offload its position. As a result, the sale process has been paused indefinitely, with no other potential purchasers currently being approached.

The collapse of the Mercedes talks arrives at a time when F1's ownership landscape is under increased scrutiny. The question of multi-team dynamics and cross-ownership has become a prominent topic within the paddock — Red Bull recently signalled openness to stricter team independence rules, reflecting the broader industry conversation around governance and competitive integrity.

Alpine's Commercial Momentum Continues

Despite the ownership uncertainty, Alpine has been making headlines for the right reasons on the commercial front. The team confirmed a new title partnership with Gucci last week, with the squad set to race under the Gucci Racing Alpine Formula 1 Team banner. The deal is believed to run for between three and four years, with an estimated value of $160–200 million over its term — a significant commercial statement for a team in transition.

On track, Alpine currently sits fifth in the constructors' championship after five rounds of the season, having made the major switch from its own power unit to a Mercedes customer supply this year. That technical relationship with Mercedes makes the failed ownership talks all the more intriguing — two parties now closely intertwined on a competitive level, yet unable to find common ground off it.