New Delhi: Several Indian Premier League (IPL) franchises have reportedly submitted bids to own teams in The Hundred. The likes of Chennai Super Kings (CSK), Mumbai Indians (MI) and Kolkata Knight Riders (KKR) among others have all submitted formal bids in the first round of the auction. The Hundred is a 100-ball tournament run by the England and Wales Cricket Board (ECB).
As per a report in Cricbuzz, the majority of the parties who have expressed formal interest in buying teams in The 100 are Indian investors, including IPL franchises. CSK, MI, KKR, Sunrisers Hyderabad (SRH), Delhi Capitals (DC) and Lucknow Super Giants (LSG) have all submitted bids. ECB had earlier invited bids for the 8 teams in The 100 with the deadline for the 1st round being October 18.
As per Cricbuzz, Rajasthan Royals (RR) and Women’s Premier League (WPL) franchise UP Warriorz which is owned by Dubai-based Capri Global Group have also submitted bids for The Hundred teams. The likes of CSK, MI and KKR are among IPL teams that already own franchises in many T20 leagues across the globe.
While CSK have franchises in the SAT20 in South Africa and the MLC in the US, KKR own franchises in the Caribbean Premier League, ILT20 and the MLC. Mumbai Indians, on the other hand, own teams in SAT20, MLC and ILT20, showcasing the significant global outreach of the IPL franchises. The IPL big wigs have now set their sight on The Hundred.
ECB expecting valuation of 75-100 million pounds for franchises
The England and Wales Cricket Board is reportedly expecting a valuation of around 75-100 million pounds for the 8 teams in the auction. The ECB currently owns 100 percent stake in all 8 franchises and has invited bids to acquire at least a 49% stake in each team with the vision to take The Hundred to greater heights in the future.
The interested parties will have to thus splurge out an amount ranging from 40 to 50 million pounds depending on the team that they want to buy a stake in. The bidders have not been asked to name the team that they are bidding for in the first round of the auction. The process of selecting a team and other commercial discussions are expected to take place between the ECB and the bidders in the second round.
As per ECB, it will sell a 49% stake in each of the eight teams while the remaining 51% will stay with the English counties that are associated with each team, thus making it a joint venture between the two parties. “ECB then plans to gift its remaining stake in each of the teams to their respective hosts, creating a lasting partnership between new investors and some of the world’s iconic cricket institutions,” ECB said in a statement.
However, the investors will have a chance to potentially acquire a majority stake in the franchise and control their running by acquiring more stakes from their respective counties. The ECB has allowed each county to dilute a portion of their equity in the teams to allow the new investors to hold a majority stake.
“As a part of this process, hosts will also have an option to sell a portion of their equity in the teams to the new investors to provide a path to a control position,” added ECB.
