Record-breaking broadcast deal likely in Pakistan history

KARACHI:

Pakistan cricket appears to be on the verge of its most expensive commercial deal ever, which could add billions of rupees to the Pakistan Cricket Board’s coffers.

According to sources, a Pakistan Super League franchise is considering offering ₨4.5 billion annually for the Pakistan Super League broadcast rights. If bid is successful, a four-year agreement worth up to ₨18 billion could be signed. Matches are likely to be aired on Pakistan Television, the state broadcaster.

Meanwhile, two major sports channels have been disqualified from the bidding race after failing to clear their outstanding dues despite being given extended deadlines. Reportedly, one owes ₨4.7 billion, while the other owes over ₨600 million to the board.

A few months ago, PCB had invited tenders for a four-year PSL media rights contract, attracting several interested parties. However, the two large sports channels were ruled out due to their unpaid liabilities. The board had given them time to settle payments, but after they failed to do so, official disqualification letters were issued.

Sources revealed that a company which already owns a PSL franchise is also keen to secure the media rights and could submit a record-breaking bid. Well-informed circles claim the offer could be around ₨4.5 billion per year — totaling ₨18 billion over four years — while bids for live streaming rights may reach ₨7 billion. If finalized, this would become the largest deal in Pakistan cricket’s history.

To prevent potential collusion among broadcasters, PCB has disallowed consortium bids this time. If the mentioned company wins, it is likely to use state-run television as its broadcast platform.

Under the tender terms, companies could bid for either or both categories — television broadcast and digital streaming — with a ₨100 million bid security for each. The winning bidder’s security will be adjusted, while the rest will be refunded. Though the reserve price has not been disclosed yet, conservative estimates suggest it could be ₨18 billion for broadcast rights and ₨6 billion for live streaming.

Last year, the PSL featured 34 matches, but with the inclusion of two new teams, the number is expected to rise to 44. The additional ten matches per season effectively make this four-year deal comparable in value to a previous five-year contract.

Another media channel participating in the bidding had previously been blacklisted, and it is unlikely to make a significant offer. Thus, the field currently appears open for the PSL franchise–owned company.

According to PCB regulations, for any broadcast deal exceeding ₨3 billion, a portion of the surplus (USD 500,000) will be allocated to signing iconic foreign players, while the remaining amount will be distributed 80% to PCB and 20% to the franchises.

Last year, production costs exceeded ₨1 billion. The 11th edition of the Pakistan Super League is scheduled to begin on March 26.

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