The two new franchises can pick five players from each of the two suspended teams, the Super Kings and Royals… #NewIPLTeam

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The owners of the franchises that will replace Chennai Super Kings
and Rajasthan Royals will be identified on December 8

More than ten companies have bought the Invitation To
Tender (ITT) document for the two new IPL franchises to
replace the suspended Chennai Super Kings and Rajasthan
Royals for the next two seasons. The two successful owners
will be identified in a walk-in bid on December 8*.

It was understood that Chennai-based companies Chettinad
Group and ITW, media entrepreneur Ronnie Screwvala’s
Unilazer, consumer electronics major Videocon, Group M,
Intex Mobile, snack manufacturer Haldiram, and Yes Bank
were among the companies that purchased the bid document
before the tender process ended on Monday. Harsh Goenka,
chairman of the RPG group, and his brother Sanjiv, chairman
of the RP-Sanjiv Goenka group, have also procured the
document. Sanjiv Goenka is also the co-owner of football team
Atletico de Kolkata in the Indian Super League. Bidders can
seek clarification on the specifics of the bid process on
December 4.

A BCCI official told ESPNcricinfo the response seemed
positive. “Ten-twelve bids is quite a lot,” he said. “Obviously
there is a high-level of interest in the document, but who
knows how many of these companies will actually translate
this into a specific bid.”

IPL chairman Rajiv Shukla had earlier stated that the two new
franchise owners would be picked through the reverse-
bidding process. “The base price for the reverse bid from the
central revenue pool is Rs 40 crore and the party which bids
for lowest share from the central revenue pool will be the
winner of the new team,” Shukla had told PTI .
Another board official said reverse bidding was an
interesting proposal. “There is no franchise fee, so you don’t
pay a higher franchise fee and buy a team,” he said.

“Normally they pay the franchise fee and we give a share of
the broadcast rights. In a reverse bid, say for instance a
company bids asking us for only Rs 20 crore from the
broadcast rights, while another company asks for only Rs 15
crore. The one that asks for less money from us gets the
rights.”

The official said it was a “win-win” for all the parties
concerned.

“If a company buys it for X amount, it is still going
to gain a lot of money by way of publicity, and anyway there
is no franchise fee involved,” he said. “This system has been
devised because a franchise fee for a two-year period is
difficult to evaluate, as you then get into valuation territory.”

The new franchises will replace Super Kings and Royals who
were suspended by the RM Lodha Committee, appointed by
the Supreme Court to investigate the 2013 IPL corruption
scandal.

Posted by : Andy jadeja

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One thought on “The two new franchises can pick five players from each of the two suspended teams, the Super Kings and Royals… #NewIPLTeam

  1. Pingback: The two new franchises can pick five players from each of the two suspended teams, the Super Kings and Royals… #NewIPLTeam | Cricket Willa - Cricket Statistics

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