IPL Tender Document Clarifications Delayed BCCI Submission | Cricket news

MUMBAI: Even as BCCI decided to push back the final bid submission date to own two new Indian Premier League (IPL) franchises from October 17 to 25, competition among potential investors to own these franchises has diminished. with each passing day.
The delay in the submission date is due to the fact that BCCI responded to the multiple questions it received from potential bidders and industry players, which may also involve clarifying certain legalities.
First of all, a little bit about who is offering from now on. After weeks of speculation about the Adani group’s participation at the table, it can be said with some degree of certainty that the company is calculating numbers for this purpose.
“The Torrent group in Ahmedabad is also looking to bid, but through electricity and not pharma. The RPG-Sanjeev Goenka group will be a certain bidder. The other company very interested in bidding was Aurobindo Pharma. But they are still developing eligibility clauses which are part of the requests considered by the BCCI, ”those familiar with the developments told TOI this week.
Aditya Birla Group and financial services firm Kotak have expressed interest but may not cross a certain spending threshold. Since IPL just happens to be the rare uninteresting Indian company – given that a winning bidder pays BCCI the franchise sum in 10 equal parts over 10 years – many private equity and investment fund players should have been interested. However, this was not the case.
The reasons for this situation can be found in the clauses of the tender documents. BCCI has requested that the average turnover of the company bidding for a franchise be at least Rs 3,000 crore or that the average net worth of each bidder be at least Rs 2,500 crore. “Which is good, but the problem is that BCCI also says that in case of a consortium of three bidders, the average net worth of each bidder should be Rs 2,500 crore according to the last three audited accounts. This is where the problem arises, ”sources say.
The cricket council did this, he says, to avoid controversies as in the past when consortia bid on franchises but quickly withdrew from IPL. However, potential bidders have written to BCCI to seek clarification on this matter. Outside of Ahmedabad, Lucknow is where the second most likely franchise is to be based and industry leaders say, “It is high time that the proverbial heart of India got its own. IPL team ”.
“If 100 people watch TV in India, almost 75% watch it in Hindi and almost 22% of that 75% is Uttar Pradesh alone. Today, while India accounts for over 70% of global television, Uttar Pradesh can be considered one of the densest cricket fan bases in the world, ”these tracking numbers say.
With the sale of new media rights coming later this year and IPL’s central revenue pool expected to grow by almost 80%, the industry is fixing the value of each franchise at Rs 4,000 crore. “Two franchises combined could bring the BCCI revenues of more than a billion dollars”, say the experts.

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