Renault to have 200 to 250 million budget per year
- Published on 07 Dec 2015 12:45
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- By: Rob Veenstra
Renault will power back to the front in formula one with a Mercedes-like annual budget. That is the claim of Germany's Auto Motor und Sport, following the announcement late last week that the French carmaker has decided to definitely buy Lotus.
It should mean the struggling Enstone team's court date over unpaid tax bills on Monday is a mere formality. That is because Renault will reportedly return to full works status with a Mercedes-like budget in the range of EUR 200 to 250 million per year.
But the carmaker has been smart about the acquisition. It has retained Gerard Lopez as a shareholder, and secured $70-80 million from Bernie Ecclestone in recognition of Renault's 'historic' status -- meaning Renault is not actually forking out a dollar of its own to buy Lotus.
Not only that, it will get EUR 30 million from Red Bull next year for the Tag Heuer-branded engine deal, while taking back the former quadruple world champions' title sponsor Infiniti, a luxury division of Nissan. Red Bull team boss Christian Horner confirmed: "This new agreement (with Renault) does not cover any marketing activity for the Renault-Nissan alliance. We wish Infiniti all the best with their plans for the future."
Moreover, Renault is expected to also run Total-branding in 2016, while pocketing the millions brought to the team by the heavily PDVSA-backed Pastor Maldonado. 2016, however, will be a transitional year, with Lopez saying next year's car will be effectively "a Lotus-Mercedes with a Renault engine". (GMM)
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Replies (6)
Login to replycalle.itw
Posts: 8,527
I think they will need a budget like that if they want to win titles again. Im interested in what livery they'll display and such. Must be quite a blow for Red Bull to lose this much cash just because they couldnt help but fight their own partner in the media. A suitable punishment though.
khasmir
Posts: 893
True but RB have been securing some other new "big" partners like TAG and Puma so I don't think cash will be their biggest problem. That "Renault" PU on the other hand... ;)
calle.itw
Posts: 8,527
To be fair though, we dont know if next year's Renault PU will be as bad as this year's. Although I must say I have more faith in Honda than in Renault (but Im a bit biased, so shouldnt speak too much I guess, lol). ;)
khasmir
Posts: 893
Am I reading this right: "a Lotus-Mercedes with a Renault engine"?
calle.itw
Posts: 8,527
Im pretty sure they'll name it Lotus-Renault. Although that wont be confirmed until the deal actually falls through.
James Raven
Posts: 2,419
Apparently Lotus will be dropped. But next years car will be a Lotus made for a Mercedes engine and altered to fit a Renault engine.