The business valuation of the Indian Premier League (IPL) has increased to $16.4 billion, marking an increase of 6.5 %, according to a report by American investment bank Houlihan Lokey.
The report, titled ‘IPL Valuation Study 2024’, stated, ‘The standalone brand value of the IPL has increased by 6.3 % to $3.4 billion over the past year’.
The Tata Group secured the title sponsorship for the IPL for an additional five-year period, from 2024 to 2028, at an approximate cost of $300 million.
This new deal represents an increase of around 50 % over the previous agreement of Rs 335 crore per season, the report said.
The study showed, ‘This, along with last year’s media rights auction, reinforces the IPL’s status as a platform for brands seeking to enhance their value’.
Proving to be an advertisers’ delight, on average, a T20 match will have around 80 to 100 ad slots placed between overs, innings break, timeouts, and after fall of wickets. Similar to NFL’s Super Bowl, where new TV commercials are launched every year, the IPL is doing the same for sports advertising in India”, the report stated.
Harsh Talikoti, senior vice-president, Corporate Valuation Advisory Services at Houlihan Lokey, said IPL has proved itself as a global premier sports league.
‘The IPL has solidified its status as a premier sports league on the global stage, signifying an exceptional blend of sportsmanship, entertainment, and commercial success. The league’s growth is not just in numbers but also in its innovative approach to engaging fans and leveraging digital platforms. This year’s increase in value underscores the IPL’s strategic initiatives and its robust fan base,” Talikoti said.
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