BCCI expects handsome bidding from Star and Sony for the next five-year cycle of IPL.
The current five-year rights (TV and digital) for IPL from 2018 to 2022 are with Star India but, according to people who are in a decision-making capacity, the valuation, which is at ₹16,347.50 crores (USD 2.55 billion) right now, could be more than double and reach USD 5 billion (around ₹36,000 crores approx at current exchange rate).
"There is a well-known US-based company which did send BCCI feelers some time back, expressing their serious interest in bidding for IPL media rights. With 10 teams playing IPL from 2022, the matches will go up to 74 and in any case, the valuation of the property increases," a senior BCCI official told PTI on conditions of anonymity.
"But with two new teams about to fetch anything between ₹7000 crores to 10,000 crores, the broadcast rights are certainly going to shoot through the roof. So expect the IPL broadcast rights to go for anything above USD 4 billion and maybe up to USD 5 billion," the official in the know of things said.
The last time around, there were only two major players in the TV and digital media rights market with Star India handsomely outbidding Sony, who held the rights from 2008-2017. Any foreign company showing interest in buying IPL properties needs to have an Indian wing.
Star had bid nearly ₹5300 crores more as Sony's final composite bid was ₹11,050 crore (USD 1.47 billion). Star India is a wholly-owned subsidiary of The Walt Disney Company India.
Normally, the BCCI categorizes various broadcast deals like TV, digital (streaming), radio, and social media but last time, it allowed separate as well as one composite bid. Any company can also bid separately but if the valuation of the singular composite bid is more than the cumulative amount of singular bids, then that is considered by the Board.
The BCCI will release the Tender invitation in Dubai on October 25, the same day when two new IPL teams will also be announced. The board expects robust bidding from both Star India and also Sony, which would like to get the IPL property back to itself.
The BCCI is expecting anything between ₹7000 crores to 10,000 crores from the team bidding of IPL.
(PTI inputs)