IPL valuation rises 75% in one year to a whopping $11 Billion!

Gujarat Titans (Source: BCCI/IPL)

After a record-breaking media rights deal that onboarded two broadcasters for the upcoming five years, the Indian Premier League is on cloud nine with the valuation they have reached. According to the recent report by D and P Advisory, the league has boomed 75% in just one year from USD 6.2 billion to a massive USD 10.9 billion.

Another reason apart from media right sales is the licensing of two new franchises Gujarat Titans and Lucknow Super Giants who were bought for a combined value of USD 1.6 billion.

The value of both teams and broadcast has led to it becoming the second most expensive league in terms of per-match value that is currently around ₹118 crore, behind USA's National Football League.

The giant leap in price has led to the league now being called the 'Decacorn', an entity estimated at over USD 10 billion within 15 years of its establishment.

Further, with over 426 million viewers last season on OTT platforms and television, the league has only risen every year.

What N Santosh, Managing Partner, D and P Advisory said

"Since its launch in 2008, IPL has reimagined the nation's cricket competition. IPL 2022 witnessed some major milestones and captivating games throughout the season. The renewed media rights deal was a major contributor towards a substantial jump in value for a relatively young league like IPL. These observations are an assurance of the fact that the IPL will continue to revolutionise the game of cricket and will be etched in the hearts of millions of fans for years to come."

Low ad rates still a concern

However, it was also mentioned that the ad rates are not par with the leagues abroad as NFL or EPL charge over $1,00,000 for a 10-second slot whereas IPL is just around $20,000. This could indicate that there's still a lot of scope left for the league to flourish in upcoming years.

Auction for next year's IPL is scheduled to be held on 23rd December in Kochi with 10 teams looking to fill their armoury.

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