FOR IMMEDIATE RELEASE
April 11, 2014
U.S.-Based NeXovation Has Filed Complaint Over The Sale of Nürburgring
MUNICH, Germany. – [April 11, 2014] – NeXovation Inc., a U.S.-based global innovation
company, announced today it has filed a complaint with the Directorate-General for Competition of
the European Commission regarding the sales process of the Nürburgring. Although NeXovation
submitted a financially attractive binding offer of EUR 150 million (EUR 110 million in cash) to
acquire all assets of the iconic Nürburgring motor sports facility in Germany, the company believes its
offer was not properly considered. Thus, it cannot be assumed that the sales process is in accordance
with European Union (EU) law.
At the heart of NeXovation’s complaint is the sellers’ indication to NeXovation that the winning bid
would not be decided until the due diligence was complete on March 31, 2014 and the bidders had
time to finish their financing commitments. However, the winning bid for the Nürburgring was
prematurely awarded on March 11, 2014 for a reported EUR 77 million (with an undisclosed amount
of initial cash) plus EUR 25 million in other improvements. NeXovation provided timely and proper
notifications and bids from the first day of the announced bidding process, and the company’s binding
financial commitment was available on March 26, 2014, five days prior to the communicated
expiration of the bid process on March 31, 2014.
Robert Sexton, CEO of NeXovation, confirmed the sellers’ lack of notification of a projected award
date, other than the March 31, 2014 financing commitment date that NeXovation had been working
off all along. The timeframe for a financial commitment was communicated in conjunction with
NeXovation’s February 17, 2014 bid and was confirmed again to the sellers on the morning of March
11, 2014, the day the bid was unknowingly awarded to Capricorn Automotive. NeXovation was not
formally notified that the bidding process had concluded until March 14, 2014.
“Our unique business model has always kept the motorsports community, OEM’s and the local
citizens in mind, as they are all tied to the history and future success of the Nürburgring,” says Sexton.
“One of our concerns is that the representatives of some of these stakeholders on the creditors
committee may have pushed ahead with their decision based on incorrect or incomplete information or
assertions.”
NeXovation’s EUR 150 million bid included a secondary cooperative performance-based incentive
that could pay an additional EUR 200 million plus to the sellers, and its business model allocates over
EUR 500 million in additional development and infrastructure improvements. In this regard, the
company’s investment bank and strategic advisory firm, LoHi MB, confirms that NeXovation has
executed a letter of intent with an investor for the purchase of the Nürburgring assets. Futhermore,
LoHi MB confirms that NeXovation has the committed capital to finance the purchase of the
Nürburgring and fulfill its obligations under the bid.
Sexton’s greatest concern, however, involves the enhancement of the Nürburgring, the state of
Rhineland-Pfalz, the greater Nürburgring area, and the retention of all Nürburgring employees, the
latter of which was made a condition of the sale early on in the process. NeXovation’s business model
includes the following commitments which were confirmed in NeXovation’s indicative offer and its
final bid:
1) A purchase structure equal to the public debt (estimated at EUR 350 million at time of indicative
offer),
2) A commitment to maintain the Nürburgring as a motor sports facility with availability to
motorsports enthusiasts globally, maintaining the heritage and historical stature of the “Ring”, and
3) A commitment to locate NeXovation’s European Headquarters as well as the additional jobs
associated with that Headquarters, in Rhineland-Pfalz, most likely in Mainz.
“Just like the EU and the taxpayers, a fair bidding process is of great importance to us. Therefore, we
have decided to contest the sale of the Nürburgring,” Robert Sexton emphasized. After having filed its
complaint, NeXovation looks forward to receiving feedback from the EU Commission.
For more information on NeXovation, visit www.nexovation.com.
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Media Contacts:
USA
Chris Goodrich
Ackermann PR
+1 865 584-0550
cgoodrich@ackermannpr.com
GERMANY
Christian Falkowski
Hering Schuppener Consulting
+49 69 92 18 74-67
cfalkowski@heringschuppener.com
About NeXovation, Inc.
NeXovation is a global, multi-industry, innovation company committed to the belief that a thoughtful
and dedicated choice of priorities – regarding our world, communities, families, and each other –
creates the potential for greatness, growth, joy and profit. Following these principles, NeXovation has
brought together a unique team of experts and highly experienced professionals to make its vision part
of your reality.