Yachting: It's someone else's beer over there

Emirates Team New Zealand's America's Cup challenge is all but funded following the signing of Spanish Brewery Estrella Damm as an elite sponsor.

Moving on from the "family of five" concept which had past Team New Zealand syndicates backed by five major sponsors including Steinlager - the new structure involves one major sponsor (Emirates) and two elite sponsors (Toyota New Zealand and Estrella Damm) whose names will feature on the boats' hulls and sails.

Team New Zealand's managing director Grant Dalton said the brewery is the last major sponsor for the team.

"While funding is not complete, the team can now confidently set about the serious business at hand - winning the America's Cup," Dalton said.

The syndicate will not reveal its exact budget but it is estimated to be around $130 million-$150 million.

Part of the money came by way of a loan, believed to be in the millions, from Swiss billionaire and Alinghi boss Ernesto Bertarelli.

The Government promised $34 million in backing, but only if Dalton could raise at least $60 million.

After the announcement of major sponsors Emirates and Toyota NZ in June last year, Dalton said they were at 85 per cent of the budget set.

The signing of the Estrella Damm signified a "important day for the team" and that over coming months, the team would have a more visible presence in Valencia with work starting next month on its permanent base.

The Spanish brewer, also one of the event's official supporters, is a large employer in Valencia and Spain with more than 2000 employees and seven plants.

"The America's Cup is a great international event in Spain," said Enric Crous, the director general of the Grupo Damm.

"The fact that the cup is in Valencia is also important for us as we have two big plants in the community and we love to support projects that promote the regions where we live and work."

Team New Zealand are in Valencia with the other 10 challengers preparing for the opening round of this year's "acts" [cup pre-regattas] which start tomorrow.

Meanwhile, it is understood South Africa's Team Shosholoza are grappling with a problem with the rig of their new boat, RSA83.

The syndicate, who were the first to launch a 2007-generation boat, hope to have the problem fixed and be back on the water before the start of the regatta.