Our partnership with K1 Speed

K1 Speed has made significant investments in 2023 to expand its geographic footprint, including the acquisitions of Autobahn Indoor Speedway, Accelerate Indoor Speedway, Speed Raceway, Tampa Bay Grand Prix, Speed Circuit, and Freem.

 

IRVINE, CA & NEW YORK CITY, NY – February 19, 2024

K1 Speed, Inc. (“K1 Speed”), the premier indoor electric kart racing brand, has announced a new partnership with evergreen investment company, Verlinvest. The investment positions the company to accelerate its growth across the U.S., Europe, and Asia and further expand its influence in the global motorsports community.

K1 Speed was founded by David and Susan Danglard in 2003 with the goal of bringing European-style electric kart racing to North America. The industry pioneers opened their first location in Carlsbad, CA and have successfully scaled the business to 86 racing centers across 30 states and 6 countries as of January 2024. As part of the new partnership with Verlinvest, the Danglards will continue to serve as majority shareholders and maintain day-to-day leadership at K1 Speed.

The company’s 2023 acquisitions of Autobahn Indoor Speedway (“Autobahn”), Accelerate Indoor Speedway (“Accelerate”), Speed Raceway, Tampa Bay Grand Prix, Speed Circuit, and Free Minds (“Freem”) have further reinforced K1 Speed’s status as the acquirer of choice within the electric kart racing industry. The recent purchase of Autobahn and Accelerate’s combined 11 locations successfully consolidated several highly respected domestic operators under a unified brand.

K1 Speed’s executives plan to capitalize on Formula One’s growing popularity by accelerating their expansion efforts in 2024 to provide more consumers with first-hand access to the thrill of European-style racing. The brand recently signed new leases for future centers in prominent domestic and international markets. The California-based company is also opening its industry defining outdoor racing K1 circuit in early 2024 and finalizing plans to break ground on a pair of flagship locations in the U.K. and New York metropolitan area.

David Danglard, CEO and President of K1 Speed said, “K1 Speed achieved a number of key milestones in 2023. Susan and I are excited to welcome Verlinvest to the K1 Speed family given the investment firm’s track record of helping notable consumer brands scale across Europe and Asia. As a fellow family-backed enterprise, they share our values and understand our dream of building K1 Speed into a global motorsports powerhouse.”

Clément Pointillart, Managing Director at Verlinvest said, “In recent years, the motorsports market has seen immense growth and we have watched consumers shift their time and spending habits towards personal experiences, such as sports, live entertainment, travel, fitness, and youth activities. K1 Speed has been at the forefront of these trends and is building a platform that consumers love.”

Roberto Italia, CEO at Verlinvest added, “K1 Speed is growing fast in a hugely attractive market. David, Susan, and their team have pursued and built their dream relentlessly over the years, providing consumers with a quality experience that is inherently designed around sustainability. We are going to work together to expand K1’s platform by leveraging the founders’ vision and ability to innovate and building its substantial asset base into a global experience destination.”

The partnership between K1 Speed and Verlinvest positions the platform to pursue ambitious expansion plans, with a goal of surpassing 100 locations by the end of 2024. Clément Pointillart and Alex Rosenthal of Verlinvest have joined K1 Speed’s Board of Directors in connection with the firm’s investment.

B. Riley Securities, Inc. acted as the financial advisor to K1 Speed in connection with the recent transactions.

About K1 Speed

K1 Speed is the premier indoor electric kart racing brand. The family owned business was founded by David and Susan Danglard in 2003 with the goal of bringing European-style electric kart racing to North America. The platform‘s 86 kart racing centers span 30 states and 6 countries as of January 2024. K1 Speed’s unique entertainment concept operates racing centers that feature electric karts, which provide superior safety, performance and environmental benefits over traditional gas-powered models. The brand appeals to a broad consumer base, including men and women of all ages, and targets arrive-and-drive customers, private parties and corporate events. In addition to electric karting, K1 Speed centers offer food and beverage options through its onsite Paddock Lounge concept, racing simulators, arcade games, race gear, racing leagues and championship events.

For more information about K1 Speed, visit www.k1speed.com

For more information about K1 Circuit, visit www.k1circuit.com

For more information about K1 RaceGear, visit www.k1racegear.com

 

Read more in Forbes here.