INEOS Britannia has withdrawn its intention to challenge for the next America's Cup after failing to reach a settlement with former skipper Sir Ben Ainslie's team Athena Racing, the team backed by INEOS chief and Manchester United co-owner Sir Jim Ratcliffe said on Wednesday.
INEOS said in January that Ainslie parted ways with Britain's America's Cup team after his third attempt to skipper his country to the trophy ended in failure in October, a decision that left the four-times Olympic champion "astounded."
The British Olympic legend had vowed to compete for the 38th edition but it would be without a partnership with INEOS, with his British America's Cup team now known as Athena Racing.
"The agreement that had been reached with Athena Racing would have allowed both parties to compete in the next Cup but it depended on a rapid resolution," INEOS said in a statement.
"INEOS Britannia had agreed the substantive terms very quickly, but Athena has failed to bring the agreement to a timely conclusion."
INEOS Britannia said the six-month delay had "undermined its ability to prepare" for the next Cup, leading to their withdrawal.
"This was a very difficult decision to have taken following our challenge at the last two America's Cups," Ratcliffe said.
"We were the most successful British challenger in modern times with an exceptionally quick boat and we felt with the very effective input from the Mercedes F1 engineers, that we had a real chance at the next Cup.
"Unfortunately, the opportunity has slipped away."
Reuters has contacted Athena Racing for comment.