The Hundred’s eight teams have received a valuation exceeding £650 million following the first sale round, with substantial interest from Chelsea director Jonathan Goldstein, India’s Ambani family, and the Glazer siblings.
The initial bidding round, which closed Friday, saw more than 100 offers, some for multiple franchises and others for individual teams. Sources at the England and Wales Cricket Board (ECB), managing the sale alongside Deloitte and the Raine Group, expressed “delight” at the strong demand.
Notable investors include Goldstein, the Ambani family, and the Glazers. The highest known bid, however, reportedly came from Indian billionaire Sanjiv Goenka, owner of the IPL’s Lucknow Super Giants, who valued London Spirit, the team based at Lord’s, at approximately £140 million. This bid significantly surpassed that of the Ambani family, owners of the Mumbai Indians. Insiders suggest there have been multiple offers in the “£140 million range” for London Spirit and potentially other teams.
Oval Invincibles also attracted attention, with one IPL team owner bidding close to £120 million, while a third team reportedly received similar interest. Offers for the remaining six teams reached up to £80 million. American sports owners, private equity firms, and most IPL teams have shown involvement in the sale process.
Goldstein, through the Raine Group, has expressed interest in a bid independent of Chelsea, though it is unclear which franchise he intends to pursue. He is working with partners and has requested further information on the conditions for entering the second round of bidding. Goldstein’s ties to Chelsea co-owner Todd Boehly, with whom he worked in the club’s acquisition overseen by Raine, have prompted inquiries, but Boehly’s office has not commented on his involvement.
Several Glazer siblings, excluding Joel, are said to be interested, maintaining a positive relationship with Raine following their sale of a major stake in Manchester United to Ineos last year.
The initial valuations reflect a full 100% ownership stake in each team. However, the ECB plans to sell a 49% stake in each franchise, with the remaining 51% gifted to the host venue, which may choose to retain or sell portions of its stake. The proceeds of the 49% sale will support the sport across counties and recreational cricket.
Insiders anticipate that most of the eight teams will sell part of their holdings, although Surrey, the host for Oval Invincibles, has shown a strong preference to keep its entire 51% stake and manage franchise operations. Prospective investors value controlling stakes highly, which may influence host counties in subsequent bidding rounds.
The initial valuations have raised the ECB’s expectations of surpassing £500 million from the 49% sale alone, with potential for greater returns if larger stakes are available.
Proceeds from the sale will be allocated according to an ECB model. For the 49% sale:
– The first 10% will fund recreational cricket, with the remainder distributed to counties.
– Of the counties’ share, the first £275 million is split 19 ways (between the 18 first-class counties and MCC).
– The next £150 million goes to the 11 non-host counties.
– Proceeds exceeding £425 million will be shared again among the 19 entities.
The proceeds of the 51% gifted to host venues will be divided as follows:
– 10% to the recreational game,
– 80% to the host county,
– The remaining 10% distributed among other counties.
These funds could provide crucial financial support to counties, although the ECB plans to enforce guidelines on spending.
Team owners will receive approximately 80% of revenue from broadcast, ticket sales, and sponsorships in exchange for their investment. Changes to team identities are possible, and salaries are expected to rise in both the men’s and women’s competitions.
The process will eventually segment into eight individual sales, with a shortlist of buyers identified for each team. Selected buyers will then tour venues and meet counties before the final selection of partners.
New investments could be in place by spring next year, although the ECB has set no strict deadline. Some teams may complete their investments in time for the fifth season of the tournament, while others may proceed more slowly.
The sale of London Spirit, considered the most valuable franchise, may take longer due to MCC’s involvement. A special general meeting this week will determine whether MCC accepts the ECB’s offer of a 51% stake, with results expected soon.
This article was originally published by The Telegraph.
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Name of Author: Cricexec Staff
