BCCI is preparing two new IPL franchise offers

A senior official told The Telegraph they expected a ‘bidding war’ and each of the two new franchises to be sold in the range of Rs 4000-4500 crore

Indranil Majumdar



Posted on 10.25.21, 02:11 AM

The Cricket Control Board of India (BCCI) expects around 12 potential bidders to come forward when bids for the two new IPL franchises open at a walk-in event at the Taj, Dubai, Monday morning.

A total of 22 business entities retrieved the Tender Documents (ITTs), although not all of them are expected to show up at the tender table. The new teams will be part of the IPL from 2022 and must be based in two of the six cities listed in the tender document – Ahmedabad, Cuttack, Dharamsala, Guwahati, Indore and Lucknow.

A senior BCCI official told The Telegraph they expected “a bidding war” and each of the two new franchises to be sold in the Rs 4000-4500 crore range. The base price for the team at the auction was set at Rs 2000 crore.

The announcement of the new franchises is expected on the same Monday or in a day or two depending on the speed with which the technical evaluation of the selected offers will be carried out.

October 20 was the deadline to pick up the ITT document at a cost of Rs 10 lakh.

Calcutta-based RP-Sanjiv Goenka Group, Naveen Jindal-owned Jindal Steel Company, which has business interests in Odisha, Torrent Pharma, Aurobindo Pharma, Hindustan Times Media and Kotak Group are among the leading Indian companies that have taken over the ITT launched by BCCI.

Lancer Capital, which has Avram Glazer, Manchester United Football Club’s executive co-chairman, as principal, and CVC Capital, which has stakes in Formula 1 and the Six Nations rugby tournament in Europe, also retrieved the ITT document.

The last person to buy the ITT was South African businessman Rajesh Gupta. The ITT allows foreign institutions to submit the bid on the condition that if they win, they will have to set up a business entity in India.

“The withdrawal of the ITT does not guarantee that they will come to the auction table. It helps companies assess BCCI’s future plans, ”said a senior official.

A company that has an annual turnover of Rs 3000 crore will be considered an eligible bidder. A consortium of three or more entities will also be allowed provided that each has a personal net worth of Rs 2,500 crore.

The names of powerful Bollywood couple Ranveer Singh and Deepika Padukone, representing a foreign investor, have been around. “There is no confirmation but they could be minority stakeholders or brand ambassadors for one of the interested parties. In the past too, celebrities from Bollywood have represented franchises on the auction table, ”said someone in the know.

This will be the second time that the RP-Sanjiv Goenka group will sit at the auction table after owning the Pune-based Supergiant for two years. They also own the Calcutta ATK Mohun Bagan football team.

The two cities that are in pole position for nominations are Ahmedabad and Lucknow. While Ahmedabad has the largest cricket stadium in the world with a capacity of 1.32 lakh of spectators and named after Prime Minister Narendra Modi, Lucknow has revamped its infrastructure in the form of the Atal Bihari Vajpayee Stadium (also known as the Cricket Stadium Ekana).

In the 10-team format, BCCI plans to remove the home and away scenario and split the teams into two groups.

This will result in 14 league matches for each franchise and 74 in total.

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