BCCI to earn extra 130 crore after Tata replaces Vivo as IPL title sponsors | Cricket News

NEW DELHI: The Tata Group has replaced Vivo as the title sponsors for IPL. Vivo has terminated its contract with two editions remaining. BCCI has brought on board Tata Group and according to the deal document accessed by TOI, the board is expected to earn around Rs 130 crore more from the deal it had with Vivo which was supposed to run till 2023.
The relationship between BCCI and Vivo had hit rough waters in 2020 when the latter decided to opt out of sponsoring the 2020 IPL season in UAE.

With two new IPL teams coming in and the number of matches going up, BCCI was slated to earn Rs 996 crore from Vivo over the next two editions. Vivo had offered Rs 484 cr and Rs 512 cr instead of Rs 440 cr for the two remaining seasons. Tata has offered to pay Rs 335 crores per season as rights fee and Vivo will have to shell out around Rs 450 cr (including assignment fee) for a smooth exit from the contract. That takes BCCI’s earning for these two seasons to Rs 1124 cr.
The Tata Group also wants to extend the deal to a five-year contract. BCCI is supposed to invite fresh tenders for the title sponsorship for the 2024-28 cycle. However, BCCI will give Tata an option to right to match once the fresh bidding happens in 2024. This will mean Tata will have to match the highest bid to retain IPL’s title sponsorship and it will ensure BCCI doesn’t miss out on a hefty value.

BCCI, in the past, had a contract with DLF (IPL’s first title sponsors) which had a clause that a contract could be extended beyond five years if both parties negotiated in good faith.
“This is indeed a momentous occasion for the BCCI IPL as the Tata Group is the epitome of global Indian enterprise with an over 100 year old legacy and operations in more than 100 countries across six continents. The BCCI, like the TATA Group, is keen to promote the spirit of cricket across international borders, and the growing popularity of the IPL as a global sporting franchise bears testimony to the BCCI’s efforts. We are truly happy that India’s largest and most trusted business groups have believed in the IPL growth story and together with the Tata Group, we will look to take Indian cricket and the IPL forward to greater heights,” BCCI secretary Jay Shah said in a statement.

Source link