Solvents, sports, and SUVs – here’s what they have in common.
Ineos, the London-based chemicals giant which specializes in solvents, adhesives, and pigments, is doubling-down on its extra curricular activities.
On Friday the company announced a deal to acquire a one-third stake in the Mercedes Formula 1 racing team.
Led by billionaire Sir Jim Ratcliffe (one of the 100 richest men in the world), Ineos is not a household name on the American side of the pond. With a reported $80 billion in annual revenue, Ineos serves industrial end-markets with chemicals such as chlorine and titanium dioxide.
But in recent years, the company’s public profile has ballooned:
- Ineos has spent half a billion dollars acquiring French soccer club OGC Nice, Switzerland’s Lausanne Sports FC, and the UK cycling club “Team Sky” (which it renamed Team Ineos).
- Ineos has funded Britain’s efforts in the prestigious sailing race – America’s Cup.
- It also (successfully) sponsored an effort by Kenyan Eliuid Kipchoge to run a sub-two hour marathon.
While Ratcliffe says the sports pursuits are born from a genuine interest, others have criticized the company of “sportwashing,” or building a positive public image to dissociate from environmentally unfriendly business activities.
Ineos automotive ambitions don’t end at the race track. The company recently purchased a Mercedes plant in France and plans to launch its own SUV, called the Grenadier, in 2021.
Ola Kallenius, Daimler chairman, said Ineos could also become a future partner in building sustainable fuel technologies.
Ineos will also remain the Mercedes F1 team’s principal sponsor, in a deal signed in January worth £20m a year.