Malaysia's Petronas joins Mercedes GP team

Malaysia's state energy firm Petronas said Monday it had struck a five-year deal with automaker Mercedes to become a title sponsor of the Mercedes GP team in Formula One.

 

Malaysia's state energy firm Petronas said Monday it had struck a five-year deal with automaker Mercedes to become a title sponsor of the Mercedes GP team in Formula One.

"The team will from 2010 be officially known as the Mercedes GP Petronas Formula One Team," Petronas said in a statement.

The team was known as Brawn GP, winner of the 2009 Formula One drivers' and constructors' championship, until Mercedes, its engine supplier, acquired a majority stake in a deal last month.

"The partnership also allows related business arrangements with Mercedes that will support Petronas' international business expansion efforts, particularly in its global lubricant business," the Petronas statement added.

Petronas did not disclose the amount of the deal, but said the move would enhance Malaysia and Petronas's "ongoing global brand positioning efforts."

Petronas -- Malaysia's biggest company in terms of profit, assets and revenue -- is also the title sponsor of the Petronas Malaysian F1 Grand Prix.

Apart from Petronas, Malaysia's budget carrier AirAsia group chief executive Tony Fernandes is the new Malaysian-backed Lotus team principal, one of the four new teams that will compete in the 2010 Formula One season.

Their involvement in F1 come as the sport battles the global financial downturn, which has forced major players like Germany's BMW and Japan's Honda to pull out.