MADRID, Sept 02, 2013 (AFP) – Spanish two-time Formula One world champion
Fernando Alonso has agreed to rescue financially troubled Basque cycling team
Euskaltel Euskadi from collapse, the team said Monday.
“Euskaltel and Fernando Alonso have reached an agreement in principle which
guarantees a new future for the cycling team,” the team said in a statement.
“Over the next weeks, negotiations between the parties will conclude with
Fernando Alonso acquiring the company owning Euskaltel Euskadi, BCPT,” it
said, without giving further financial details.
The Basque cycling team announced in August that it would shut down at the
end of the year because it could not find a sponsor.
The team’s main sponsor, telecommunications company Euskaltel, had said it
was looking for another sponsor to help with the running costs of the team
after local government withdrew its 3.5 million euros ($4.6 million) of public
funding due to spending cuts.
Euskaltel filled that funding gap themselves for this season, taking their
contribution to seven million of the team’s nine-million-euro budget. However,
it had said that level of investment was unsustainable.