Punjab Kings co-owner Ness Wadia expects new IPL teams to be sold for ‘at least Rs 3000 crore plus’

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Punjab Kings co-owner Ness Wadia feels that the base price of the two new Indian Premier League (IPL) teams is very less and that he expects them to fetch “at least Rs 3000 crore” during the bidding on October 17.

The Board of Control for Cricket in India (BCCI) has set the base price of the new teams at Rs 2000 crore. The board had invited bids in August to own an IPL franchise with “Invitation to Tender” available for purchase till October 5.

The new franchises will be announced on October 25, making the IPL a 10-team affair from the 2022 season. Among the venues where the teams could be based include Ahmedabad, Lucknow and Pune.

Speaking to PTI, Wadia said the addition of the teams will lead to appreciation of the IPL’s value as well as the existing franchises.

“The minimum base price is Rs 2000 crore at the moment, it will go for quite a lot more. Based on my little experience and knowledge of the IPL, 2000 is very conservative and I wouldn’t be surprised if it went up a minimum of 50 to 100 percent more than that.

“I would expect at least Rs 3000 crore plus. Everyone wants to be a part of IPL but only a handful can be a part of it,” said Wadia.

Asked if there are concerns that the existing teams might have with the addition of more outfits, Wadia said: “There are no concerns at all. It is good that two new teams are being introduced.

“I also feel IPL is a premium product and with the limited number of teams, the value of all the franchises will go up after the addition of new franchises. Bringing in 10 teams will bring more width and depth to the IPL.

“There have been eight teams for majority of the IPL history and and after this, I don’t see more teams coming into the league for at least five to seven years. It will be very good for the broadcasters also. I see it as a big positive,” he said.

Wadia feels new teams will also make the IPL a stronger product.

“IPL is the jewel in the crown of the BCCI and therefore the jewel will get the right value. Since there can only be two new teams, then automatically the value of existing franchises also goes up.

“It is a closed league and the beauty of today is that you have a fixed asset which not only gives you appreciation, on a yearly basis, but also consistent yearly revenue.

“You have got money coming in, approximately Rs 250 to 300 crore a year, and that is the inflow coming into your pocket apart from the appreciation of the asset. “It is a like a building in a prime location and all around you people are developing, so value of your asset goes up too.”

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