Mercedes is no longer interested in buying a stake in Alpine, claiming that the asking price is too high.

We understand that discussions have stopped," a source at Renault confirmed to the BBC.

Initially, only a consortium led by Christian Horner was looking to buy the 24% stake owned by investment group Otro Capital, but then Mercedes entered the picture, a move which led to Zak Brown lobbying the FIA over team alliances.

When it was revealed that Mercedes was looking into buying the stake, it was naturally assumed that this meant Toto Wolff, co-owner of the Germann G1 team, however, Flavio Briatore subsequently made clear that the negotiations were with Mercedes itself and not the Austrian.

Seemingly, Mercedes has withdrawn after learning that Otro, which along with partners RedBird Capital Partners and Maximum Effort Investments, collectively known as the Investor Group, is seeking $720m (£536m), which would value the Enstone-based outfit at $3bn (£2.2bn).

When the 24% stake was purchased just three years ago, in June 2023, it was for €200m, which gave the team a value of $900m (£700m), which even then was seen as "preposterous" by many. Now, Otro is seeking more than three times that amount.

Mercedes believes that Alpine is worth around $2.2-2.4bn (£1.6-1.8bn), which is considered a generous estimate for a loss-making team, whereas profit-makers such as the German team are valued at £4.6bn and McLaren at £3.5bn.

Ironically, Alpine, which finished last in the 2025 standings, is currently fifth, hard on the heels of Red Bull, having controversially ditched its Renault engines in favour of Mercedes power units.

Meanwhile, Renault has final say on who may buy Otro's stake, while Horner has recently been linked with Chinese EV giant BYD, which is understood to be very keen on entering F1 and certainly has the cash.