Honda acquires BAR for full factory F1 effort

[mikes94]

TOKYO, Japan, October 4, 2005– Honda Motor Co., Ltd. today announced that Honda has agreed to purchase all shares in BARH Ltd. Honda currently owns 45% of the equity in BARH Ltd., and will complete the purchase of the remaining shares by the end of 2005.

From the 2006 season, Honda will therefore participate in the Formula One World Championship Series with its own team, with the aim of winning the World Championship.

The F1 team will continue to be based in Brackley, Northamptonshire, UK, and work in cooperation with Honda Racing Development Ltd., located in Bracknell, Berkshire, UK.

In 2000, Honda signed an engine supply and joint chassis development contract with B·A·R, marking the start of Honda’s third participation in the Formula One World Championship. In December 2001, the agreement was extended for 3 years, with provisions for the strengthening of the joint chassis development program. Further strengthening of the structure for development came with another extension of the contract (through the end of the 2007 season) in July 2004, and Honda’s purchase in January 2005 of 45% of the shares of BARH Ltd.

Comment from Hiroshi Oshima, Operating Officer, Corporate Communications and Motor Sports, Honda Motor Co., Ltd.:
"After discussing Honda's future F1 participation, we have decided that Honda should own 100% of the team. We greatly appreciate the partnership of BAT, which has managed the team with us until now, and we wish BAT the best of luck in its future endeavors. From next season, we will be even more energetic in our F1 activities, working hard as a team in order to improve our technology, develop our young engineers and achieve our goal of winning the World Championship. We look forward to your continued support."

Source: http://world.honda.com/news/2005/c051004.html

[^^v]

omfgz..
ABOUT TIME!


EDIT:

[04/10/05 - 10:32]

BAT statement on Honda purchase
Branding to remain for the 2006 season





Zoom
Honda purchase BAT's stake in BAR
British American Tobacco (BAT) today confirms that it has agreed the sale of its 55 per cent stake in BAR Honda to Honda Motor Co. Ltd. The sale is expected to take effect by 31 December 2005.

With Honda’s existing 45 per cent shareholding, purchased in January 2005, this transaction will give Honda complete ownership of the team.

The BAR Honda team (then British American Racing) was established by BAT in 1997. After a challenging first few years it rose to second place in the 2004 FIA Constructors’ World Championship, one of the quickest ascents of a F1 team.

BAT intends to remain as the title sponsor, through Lucky Strike, for the 2006 season, but will honour its long-standing commitment to exit Formula One sponsorship at the end of that season. This is consistent with the International Tobacco Marketing Standards, to which British American Tobacco voluntarily subscribed in 2001, along with its major international competitors.

“It will be sad to end our association but it is immensely satisfying to leave the team in the competent hands of Honda who are proven winners in the sport," commented Jimmi Rembiszewski, Marketing Director. "We wish Honda every success for the future and look forward to our last year of sponsorship.”

E.A.
Source BAT

[Kawasaki]

WOoooooooo Go Honda

[T-onedc2]

I'm looking forward to this, can't wait!!!

[Chronos]

w00t!

Well done Honda!

[jackosimm]

this must be the 5th thread Ive seen on this topic lol! Good to see some manufacterers going solo, as said in the other threads, I wonder if it was more so BAT pulling out due to the bans on tobaco adverts in all the countries F1 visits these days.

[^^v]

... I wonder if it was more so BAT pulling out due to the bans on tobaco adverts in all the countries F1 visits these days.

as written in the above article..

BAT intends to remain as the title sponsor, through Lucky Strike, for the 2006 season, but will honour its long-standing commitment to exit Formula One sponsorship at the end of that season. This is consistent with the International Tobacco Marketing Standards, to which British American Tobacco voluntarily subscribed in 2001, along with its major international competitors.

i think it had alot to do with the bans..
it was only a matter of time anywayz... im thinking its much easier to develop parts all 'in-house'...

[bigteethygrin]

i wonder if they'll return to their red and white colours?? might make their ads on tv not look so out dated

[jamchen]

it definitely a great news for Honda F1 fans....
just read somewhere else that Sato expressed that one of the team had giving him an offer to keep on the circuit would it be the forthcoming Honda?

[Fr3aKi3]

abt bloody time.... now i'll probably start watching f1 again next yr... lol

[Petronas]

Honda vs Toyota Now thats interesting (on track of course)

[hihidamon]

It was obviously in their agreements since day 1 that Honda would take full ownership of the team from BAT, once the non-tobacco thing kicks in after 2005.

Back in the dual honda teams time with jordan and BAR in 00-02, Jordan WOULD have been the logical and best choice for Honda to supply engines exclusively. But Honda chose BAR instead, despite BAR's dismal performance and result back at THAT time. Why? simply because Eddie Jordan would not sell his team and wanted to be in charge (a decision he definitely regretted) whereas, BAT knew there would have no point for them to stay and would sell when anti-tobacco forced them out of the sport. - Therefore, Honda's decision and strategy was obvious in 2002 - BAR would become Honda F1 in 2006.

On the otherside of the story, since Honda abandoned the team end of 02, a dramatic free fall in Jordan's performance and sponsorships dragged the team towards the back of the grid, battling hard against Minardi for 18th position. The team ran out of money and Eddie Jordan unwillingly had to sell the team eventually to Midland. Poor Jordan has got no one to blame but only himself.

I wonder what would they have have acheived if Honda bought into Jordan instead ... Maybe Honda would have won the championship 2 years earlier in 04 (which Honda came 2nd with BAR and Button was third!)
I know there are no ifs ... therefore....