The PSL Broadcasting Rights auctioned off for a whopping 6.3 billion rupees, marking a substantial 2 billion rupee increase from the last deal. This time, a private TV channel clinched the rights over three other competitors in a fierce bidding war. The financial bids opened recently, starting at a reserve price of Rs. 7.358 billion.
Initially, the previous rights holder pitched in at Rs. 5.30 billion, while the state-owned TV channel and two other competitors placed bids of Rs. 5.17 billion, Rs. 4.40 billion, and Rs. 4 billion, respectively.
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However, none matched the reserve price, leading to a second round of bidding.
The top bidder from the first round bumped up their offer by another billion in the second round, sealing the broadcasting rights for the next two years at a total of Rs. 6.30 billion. The Pakistan Cricket Board (PCB) gave this deal the green light, with 95% of the proceeds headed straight to the PSL franchises, meaning they stand to receive over Rs. 3 billion every year. On top of that, digital rights were snagged for Rs. 1.85 billion.
It’s worth noting that the PCB set strict rules, allowing only companies with their own sports channels or rights from another channel to join the bidding. Four channels were in the race. If the reserve price wasn’t met, the PCB had the power to reconsider or delay the process. Luckily, a solid bid came in during the second round, settling matters.
Comparatively, the reserve price for the previous contract was Rs. 3.7 billion, and the rights went for Rs. 4.3 billion over two years. Interestingly, the same entity snagged the rights again. PCB had an international company, ‘Colganbauer,’ assess the media rights’ value before the bidding, valuing it at 6 billion rupees.
