The England and Wales Cricket Board (ECB) is gearing up to privatize its franchise cricket league, The Hundred, by inviting investors for team stakes. The affluent Indian Premier League (IPL) franchises have expressed interest in acquiring stakes in The Hundred’s teams but are wary due to the ECB’s policy of capping private ownership at 49%.
As The Hundred approaches its fourth season, the ECB’s privatization blueprint includes establishing eight franchises as joint ventures. According to the proposed model, 51% ownership will be retained by existing partners—seven counties and the Marylebone Cricket Club (MCC)—while the remaining 49% will be available to private investors.
In an exclusive conversation with ESPNcricinfo, an IPL team executive highlighted the novelty of the ECB’s model, contrasting it with the full ownership typically seen in other franchise investments. “This approach is new because, in all other franchise deals, we hold 100% ownership. The dynamics change significantly with a joint venture. Valuation, ownership, and operational matters immediately become critical considerations,” he noted.
IPL Team Franchises to Expand Businesses in The Hundred
Another IPL team CEO echoed concerns about the limited stake, emphasizing that 49% might not yield significant returns. “Starting with 49% is acceptable. The key issue is the overall valuation of that 49%. If the valuation is too high without assured returns, I would prefer a smaller share initially, with an option to increase the stake incrementally over time,” the CEO explained.
Vikram Banerjee, the ECB’s head of business operations, addressed these concerns, sharing insights from his recent visit to India. “For many IPL owners, it’s about brand value, control over cricket operations, and having majority stakes. We understand these priorities and have integrated them into our process,” Banerjee stated.
As the ECB prepares for the new season of The Hundred, it will be crucial to observe how it navigates investor concerns to enhance the league’s success.
