Mike Beam Wants to Buy NASCAR Team BK Racing
A bankruptcy court approved plan to sell NASCAR team BK Racing to the highest bidder.
Mike Beam, President of GMS Racing, which competes in the NASCAR Xfinity and Camping World Truck series, has submitted a bid of 1.8 million for BK Racing, which fields the No. 23 in the Monster Energy NASCAR Cup Series.
"It's quite a process,” Beam said. "It's exciting for me to have the opportunity to do it, and we'll see what kind of shakes out. I'm very blessed [GMS Racing owner Maury Gallagher] would help me do that.”
If Beam is the winning bidder, BK Racing will be affiliated with GMS Racing, according to an ESPN.com report. GMS previously considered a move to the Cup Series but that plan was never carried out.
BK Racing will be sold Aug. 20. A bankruptcy judge approved a plan for the sale July 26. Bids for the Monster Energy NASCAR Cup Series race team must be made by Aug. 13, and a hearing to approve the purchase by the winning bidder is scheduled for Aug. 21, according to a report from NBC Sports.
Since the team filed for chapter 11 bankruptcy in February, the NASCAR team Ron Devine has been run by Matthew Smith, a court-appointed trustee. Creditors of the team included Union Bank & Trust, and BK Racing also had received multiple tax liens from the IRS. Smith determined that the best course of action is the sale of the race team.
“One of the reasons, and I know that Mr. Devine is in the room and probably doesn’t want to hear this, but I think one of the reasons this team is in trouble is it had the wrong owner,” Smith said in court last week. "So I believe the right owner, transition of ownership, would be the best thing for this team.”
Smith also said last week that 29 parties have shown interest in BK Racing.
Devine said during the hearing in which the plan to sell was approved that he plans to submit a bid to reclaim his race team. Since control of BK Racing was put in Smith’s hands, Devine has had no say in the day-to-day operations.
The sale includes a NASCAR charter that guarantees race starting positions and other assets, including equipment. BK Racing formerly was a two, and sometimes three, car team, but in 2018, the team fields only a No. 23 Toyota entry.