In a major blow to the England and Wales Cricket Board (ECB), Kolkata Knight Riders (KKR) and Chennai Super Kings (CSK) have withdrawn from the bid to acquire the top-100 franchise. The franchisees made this decision because they did not believe in the Top 100's revenue model.
Given the success of the Indian Premier League (IPL), the England Cricket Board plans to sell the Hundred to make it a franchise-based league. However, no. IPL franchises have refused to buy teams due to unattractive business models. KKR and CSK are the latest teams to join the list.
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KKR, CSK deal major blow to future of The Hundred
While CSK and KKR are still in the race, they are unlikely to be actively involved in the process. According to a Cricbuzz report, some IPL sources are not convinced of the league's business model. The main question for investors is the media rights forecast shared by the European Central Bank.
Value forecasts for the Hundred were expected to be around £34m per annum in the next broadcast cycle of 2029-32, but were deemed unrealistic and unfeasible. About 16 times the current value.
The CSK team is considering withdrawing from the tournament. At the same time, KKR doesn't believe it's a viable business proposition. “Those concerns are being addressed, but they don't seem too happy about buying a team,” one source said.
IPL franchises not interested in The Hundred
Three IPL teams – Gujarat Titans, Royal Challengers Bangalore and Kings XI Punjab did not show any interest in buying the hundred from the beginning and were not involved in the bidding process.
The ECB earlier planned to raise about 1 billion pounds through the sale of its team. The third round of negotiations is currently underway, and it remains to be seen how successful the board can be..
What is the process for acquiring a team?
The ECB is also pursuing a staged approach to the sale that would allow interested parties to compete until the end. Each team will have three to four investors shortlisted. They will then place sealed bids and the highest bidder will win ownership of the team.
Others will stay and compete for other teams. Currently planning to sell one team at a time. “Once the winning bidder is selected, they will enter an exclusive negotiation phase before the deal is concluded. The deal is likely to be completed between March and May,” an ECB source said.
According to reports, Mumbai Indians are currently linked with one of the two London-based teams – London Spirit and Oval Invincibles. Lucknow Supergiants are also believed to be chasing the London outfit. However, the ECB is not keen on selling the London team to the IPL owners.
The eight teams in the Top 100 are Birmingham Phoenix, London Spirit, Manchester Originals, Northern Superchargers, Oval Invincibles, Southern Braves, Trent Rockets and Wells Flames. Hundreds The next championship could bring new owners to the teams currently managed by eight counties.
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