ENGLAND/CHINA (AFP) Calvin Lo, a Hong Kong tycoon who owns the F1 team Williams, is considering investing further in Formula One. Other Asian investors are also interested in the sport, Lo told Reuters.
Following Dorilton Capital’s 2020 purchase of Williams, RE Lee International CEO Lo acknowledged he has “some form of exposure” to the company. He declined to elaborate, citing NDAs.
Apparently, Dorilton Capital invests in Lo.
“A lot of individuals, including me, are still looking for other teams, other chances, because…good teams can’t build the appropriate car,” Lo added.
“Asia has so much liquidity, it’s mind-blowing. I wouldn’t be surprised if a consortium in Asia invested in other clubs next. “
Lo didn’t name the investment-worthy teams.
Any new Formula One team must pay $200 million to be split among the existing teams.
Existing teams include Ferrari-powered Haas, whose title sponsor was Belarus-born chemicals tycoon Dmitry Mazepin until EU sanctions in March. Haas said nothing about investment talks.
Lo noted that Williams’ Formula One company has suffered since it has no road vehicle business.
Williams lost money in 2019 before being sold.
Insurance pandemic
RE Lee arranges ultra-high-net-worth life insurance policies through Prudential and Manulife in Hong Kong and worldwide.
The broker has arranged $1.2 billion in premiums in the first half, similar to its business for 2021, a record year, said Lo.
As the super-rich become more mindful of their mortality, COVID-19 has increased life insurance demand.
“Life insurance does well in pandemics,” added Lo. “We’re in high demand.”
The prior loose monetary environment has left the super-wealthy with abundant capital to deploy, and life insurance helps lessen the tax burden, he said.
Rich families can utilise policy payouts to pay inheritance taxes. The policies cost millions.
Lo plans to open a London office this year to serve his 8–9% UK-based clients.
Lo operates a wealth management business and is considering buying commercial property in London.
“UK property prices are costly, some would argue terribly inflated,” he stated, adding, “Every home is so ancient.”
Lo bought the Mandarin Oriental Taipei for $1.2 billion in 2018 and is eyeing London.
“If you have cash…consider it.”