Bloomberg News reports today that Radioshack – Nissan – Trek and seven other Pro Tour teams have agreed to participate in a new round of bike races that are being called World Series Cycling. The series, which is to be run by sports marketing company Gifted Group Ltd., is being called a breakaway league by the UCI.
Teams are said to be attracted by the new model, as those participating will receive 64% of the equity from the races. The financial arrangements would lessen the dependency of teams on sponsors that may be reluctant to cough up the $10 million dollars needed to support a top level team. The business model for the series would be closer in style to the team franchise plan that is used by the NBA and the NFL, where the team franchise owners get a percentage of TV revenues. Gifted Group and its backers aim to turn the series into a global brand, much like that seen in Champions League Soccer and Formula One racing.
If I do the math correctly, it looks like the participating teams would have to “buy-in” to the league for around $8 million each. Financial backers being courted by Gilt Group would own 27% of the equity while Gilt Group themselves would own 10% of the league.
The UCI, while not officially commenting on the plans, is said to be displeased with the new league, saying that it threatens the viability of long standing (but financially struggling) events like the Tour of Switzerland and the Clasica San Sebastian. In January, UCI President Pat McQuaid also said that the league would struggle because cycling is not as television
To read the whole story, visit here: http://www.bikeworldnews.com/2012/03/09/breakaway-cycling-series-underway/
MOST POPULARAlberto Contador Amgen Tour of California Andy Schleck BMX Bradley Wiggins Cadel Evans Cervélo Chris Froome Cyclo-cross Doping Euskaltel-Euskadi Fabian Cancellara Garmin Giro d'Italia HTC Lance Armstrong Levi Leipheimer Liquigas Lotto Mark Cavendish Mountain Biking Movistar Olympics Omega Pharma Paris-Roubaix Pat McQuaid Peter Sagan QuickStep Rabobank RadioShack Road Cycling Ryder Hesjedal Saxo Bank Shimano Taylor Phinney Team Sky Thor Hushovd Tom Boonen Tour de France Track Cycling Trek Tyler Farrar UCI Vincenzo Nibali WorldTour
- Kenny Butler’s Leadville bike equipped for his prosthetic
- Jim Penseyres Ride to Recovery Rider at the Leadville Trail 100
- Rodgers on Stage 20
- Sean Yates on Sky’s success at the 2012 TdF
- Wiggins jumps on team car after winning the 2012 Tour De France
- Cadel Evans on his 2012 Tour de France
- Dave Brailsford on Cav after Stage 18
- Wilfried Peeters on Quick Steps 2012 Tour De France
- Rusch after the Rush: Silver Rush 50 was really heads up
- Roche on Stage 17 and his own GC standing