BCCI to lose close to Rs 2000-2500 crore due to IPL postponement
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The Board of Control for Cricket in India [BCCI] stands to lose close to Rs 2000-2500 crore in broadcast and sponsorship money as the 14th season of the Indian Premier League (IPL) is suspended indefinitely due to Covid.
The BCCI was forced to suspend the 14th edition on Tuesday after multiple Covid positive cases rocked the IPL in the past two days.
“We would be losing anything between Rs 2000 to Rs 2500 crore for the midway postponement of this season. I would say something in the range of Rs 2200 crore will be closer to accurate estimation,” a senior BCCI official told PTI on conditions of anonymity.
The 52-day, 60-match tournament, which began on April 9 and was scheduled to end on May 30 at the Narendra Modi Stadium in Ahmedabad, was called off after just 29 games.
The BCCI's greatest loss is the revenue it receives from its broadcaster, Star Sports. The five-year exclusive broadcasting deal was won by Star Sports in 2018 for a whopping Rs 16347 crore, and the pre-match valuation is equivalent to Rs 54.5 crore.
BCCI is expected to lose close to Rs 1690 crore as 31 of the 60 matches are canceled.
In the case of the title sponsor, Vivo, which pays Rs 440 Crore per season, the BCCI is likely to get less than half of that amount because of the IPL getting postponed. Add to it, other sponsors like Unacademy, Red, Upstox, and Tata Motors, who play close to Rs 120 crore each.
“Slash all the payments by half or a bit less and you will be reaching a loss in the range of 2200 crore. The actually losses could be much more but this is a back of the hand calculation for the season,” the official said.
