Lalit Modi (AFP file photo)
” decoding=”async” fetchpriority=”high”/>
Lalit Modi (AFP file photo)
Posted inLatest Trends
‘ECB is trying to fool people’: Lalit Modi expresses concern over IPL owners’ plans to invest in The Hundred Cricket News
New Delhi: Former Chairman and Founder of Indian Premier League Lalit Modi issues warning to potential investors, especially investors from India, about their projections England and Wales Cricket Board ,ecb)Connected Hundred Tournament.
The ECB plans to privatize The Hundred by selling almost 100 percent stake in the league’s eight teams.
Birmingham Phoenix, London Spirit, Manchester Originals, Northern Superchargers, Oval Invincibles, Southern Brave, Trent Rockets and Welsh Fire are the eight teams in The Hundred and there are several owners of IPL franchises including Mumbai Indians, Kolkata Knight Riders, Chennai Super Kings and Mumbai Indians. Lucknow Super Giants, Delhi Capitals, Sunrisers Hyderabad and Rajasthan Royals are reportedly interested in securing a stake in the ECB’s 100-ball tournament.
“They are trying to create hype in a tournament which is fundamentally not in line with the way they are presented,” Modi told Cricbuzz.
The Hundred has completed four seasons.
The ECB forecasts a significant increase in revenues from media rights deals.
The England board expects to earn 1.8 million pounds (roughly Rs. 20 crore) from next year to 2028, a growth projected to exceed 800 percent in 2029 when revenues from the India market reach 15 million pounds (roughly Rs. 160 crore). are supposed to. ,
Only Indian women players are included in the competition, not men.
In the domestic market, the ECB currently earns 38 million pounds per year and this value is estimated to increase by 125 percent to 85 million pounds in the 2029-32 cycle.
“For the next media rights cycle, the ECB and The Hundred teams will consider whether to market The Hundred as part of a wider UK cricket bundle or as a standalone product. If included in a wider package The revenue allocation to The Hundred will be determined according to a fair and transparent model using industry-standard metrics,” the document seen by Cricbuzz mentioned.
The document states that the rights for the 2025-28 cycle have already been sold to Sky Sports for £51 million per year, with an additional £3 million per year expected from the free-to-air (FTA) broadcast deal.
“India Media Rights: Contracted at an average annual value of £1.8 million until 2028 – forecast to lead to a new deal in 2029 with an average annual value of £15.0 million as the world’s largest cricket market,” the 87-page presentation , State. As the website reported on August 29, the ECB was seeking a non-disclosure agreement (NDA) from interested parties before sharing this information memorandum (IM).
Modi took strong objection to these estimates, especially those related to foreign markets. “They’re trying to fool people that way. The value of international rights is zero. If you remove that figure, you remove sponsorship growth. As far as I’m concerned, the international market Total fraud. If you look at all the leagues, none of them are able to earn any revenue from overseas markets – be it SA20 (in South Africa), Big Bash (in Australia), ILT20 (in UAE) or the Caribbean. Premier League (CPL).
He revealed that IPL was made available for free in foreign markets for the first three years.
Modi also raised questions on the evaluation of a team. The document titled ‘Project Gemini Information Memorandum’ does not specify at what price the ECB intends to sell the eight teams, but Modi claims the English board is expecting around £300 million for a team .
“They are hoping to get a valuation of Rs 300 million. That’s where the problem is. You can buy the team for $5 million. Maybe, for the Lords, you can like it and sell it for $25 million. “It’s not a worthwhile proposition.”
Modi revealed that the ECB wants the entire assessment to be paid in advance.
In contrast, IPL franchise payments varied over ten years. In a social media post on X (formerly Twitter), Modi had described the entire privatization effort as a Ponzi scheme.
When contacted, the ECB declined to comment on revenue projections, team valuation or Modi’s assessment.
This Information Memorandum has been issued by the ECB to selected recipients who have signed a confidentiality agreement. It said, “Investing in The Hundred is a rare opportunity to shape the future of a major sporting property and capitalize on its significant growth potential.
The ECB currently owns 100% of The Hundred competition and all of its teams.
The ECB will sell at least 49% of each of the eight teams to new investors with the vision, experience and capabilities to take The Hundred to new heights.
The ECB then plans to gift its remaining stake in each team to their respective hosts, creating a lasting partnership between the new investors and some of the world’s most prestigious cricket institutions.
As part of this process, the hosts will also have the option to sell a portion of their equity in the teams to new investors to provide a path to a controlling position.
“The governance, commercial and other aspects of the host/team/investor relationship will be negotiated prior to closing to formalize the collaboration framework.”
The document acknowledges, “This information memorandum contains forward-looking statements that involve substantial risks and uncertainties, and actual results and developments may differ materially from those expressed or implied by these statements due to various factors. These forward-looking statements “Speaking only as of the date of this information memorandum.”
IM adds, “The ECB reserves the right, without assigning any reason, at any time and in any respect, to amend or terminate the proposed transaction, or to terminate negotiations with any potential buyer. In particular, the new operating model This Information Memorandum is subject to change and the ECB reserves the right to amend the equity structure of any team at any time prior to completion. By accepting this Information Memorandum, the Recipient agrees to be bound by the foregoing limitations. Agrees to.
