The former Alinghi designer, Spaniard Manolo Ruiz de Elvira, was spotted yesterday evening in the lobby of Hotel Boca do Rio at around 9pm in Portimao, Portugal signing various documents together with Russell Coutts, CEO of BMW Oracle.

Coutts, together with tens of other professional sailors, is currently racing in the Portugal Trophy, the TP52 regatta that is taking place in the Portuguese city.

When approached by Spanish journalist Nacho Gomez (sailing editor of Marca, Spain's largest sports newspaper) that witnessed the scene, Ruiz de Elvira confirmed he was set free by the Defender of the America's Cup and joined Larry Ellison's (still officially unrecognized) challenge.

What he didn't want to comment on was his role in the American team. It isn't known whether he will be the principal designer or work alongside Farr.