Taste of Cape Town 2026: Six Western Cape wine houses confirmed

A South African group led by ex-Sibanye-Stillwater CEO Neal Froneman is teaming up with Rothschild & Co. to invest $410 million in a Formula One motorsport project near Cape Town. The Swartland, North of Cape Town, region is the site of the 6.7 billion rand venture. The complex will house a Formula One-compliant circuit, conference, exhibition, and hospitality facilities, as well as residential properties.

Froneman explained that modern Formula 1 has evolved beyond circuits, becoming a global entertainment property with 24 events annually anchored in popular cities. This project is one of two competing to bring Formula One back to South Africa after a gap of over three decades. Toby Venter, CEO of Porsche South Africa, is separately looking to revitalize Kyalami raceway in Johannesburg.

The consortium is developing a financing strategy, aiming for Formula One approval, and scouting corporate partners, all while ensuring the event doesn't rely on taxpayer funding. The government requires this condition. Blue Mountain Racing has garnered support from South Africa's largest businesses via a sponsorship model, designed to back the race-licence fee.

The project is expected to accommodate 125,000 spectators. The consortium has met Formula One's initial technical and commercial requirements and now awaits a 12-15 month evaluation. Froneman is confident that a dedicated circuit would prevent the disruption and financial burden of a street race in Cape Town. Kyalami previously hosted Formula One races intermittently between 1967 and 1993.

Formula One's global audience has grown significantly in recent years, with the sport now valued at more than $23 billion, a significant rise from the $4.4 billion it was sold for by Liberty Media in 2017.