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WPL valuation up by 8% in second year; valued at $160 million now: D&P Advisory report
As per the report, Mumbai Indians emerged as the most valued IPL franchise in 2024, followed by Chennai Super Kings.
D&P Advisory, a provider of consulting, advisory, and valuation services, today released Beyond 22 Yards 2024 – IPL’s Legacy and WPL’s Vision, an IPL & WPL valuation report. In its second season, WPL witnessed impressive turnout drawing significant attention and support from fans. In parallel, the IPL 2024 witnessed run scoring, with almost all high score records shattered this season. Remarkably, this IPL saw history being made with over 500 runs being scored in a single match.
In their previous year’s valuation report, they have already factored in the expected surge from the media rights renewal (post the current cycle). For the first time in 2022, the Board of Control for Cricket in India (BCCI) made the decision to bifurcate the media rights for TV and digital platforms for upcoming cycle of five years from 2023 season.
Santosh N, managing partner of D&P Advisory said, “We anticipate certain demand-side constraints in the next IPL media rights cycle auction due to a decrease in number of potential bidders. Several significant developments from the past year have led us to revise our media rights value estimates.”
The developments are -
The failed merger between Zee and Sony (which was expected to go through as of the last valuation) has impacted market dynamics.
The merging of Reliance-owned Network18 and Disney-owned Star India has essentially created monopolistic control over television and digital broadcasting.
The delay in the entry of major tech players such as Amazon, Meta, and Apple into the IPL media rights arena exacerbates the situation.
Looking forward, the potential dearth of vigorous competition could lead to a more conservative approach in the bidding for IPL media rights. According to Santosh N, “The days of escalating bid prices driven by fierce competition may be behind us, casting a shadow over the future growth trajectory of IPL’s media rights valuation. Despite a substantial growth opportunity for digital platforms, the pivotal question remains: will market forces generate sufficient competition to drive up the per-match value of IPL rights?”
Compared to the previous edition, the WPL ecosystem's value has increased from Rs 1,250 crore to 1,350 crore, marking a 8.0% rise. In USD terms, this translates from $150 million to $160 million.