Ness Wadia, the co-owner of the Indian Premier League (IPL) side Punjab Kings (PBKS), on Tuesday spoke about the valuation of the IPL of the country and its positive cash-flow model. Wadia’s remark came after the news broke that one of the two newest IPL franchises – Lucknow – was bought for over INR 7000 crore. The Board of Control for Cricket in India (BCCI) also confirmed the development in their press release, confirming that a new IPL team for Lucknow was bought for INR 7090 crores by RPSG Group. The second IPL team – Ahmedabad – was bought for INR 5,625 crore by CVC Capital Partners.
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Speaking about the same, Wadia said that it was long overdue as the IPL is one of the most established leagues in the world. Wadia also reckoned that IPL has more viewership than any other league in the world and it was just about the time that it received “the accolades” and “the valuation” the tournament deserved.
“I think it was long overdue. It (IPL) is without doubt one of the most established leagues in the world. It has got the highest viewership and it is high time that it received the accolades and the valuation that it did… happy that it is getting the value that it deserves," Wadia told NDTV.
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He was also asked about the valuation of his team – Punjab Kings and the businessman was quick to say it should be around INR 7,000 crore as it was the threshold for all teams in the league now.
“Expected value is Rs 7,000 crore. That’s the threshold right. It might even be more because if you look at the calculations and work it out,” Wadia told NDTV.
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However, Wadia added that it took his side over nine years to break even, before stressing that it might not be the case for the new teams.
Wadia also expects IPL media rights to double during the bidding war for the 2023 season. It must be mentioned that the Star India group paid over Rs 16,347.50 to BCCI for the 2018 to 2022 cycle.
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