Forbes Confirms IPL Franchises Growing Faster Than NFL and NBA teams

By CricShots - Apr 27, 2022 12:33 pm

The Indian Premier League (IPL) has always been a rich source of money for its stakeholders. Forbes provided its first (and only) appraisals of the league’s franchises in 2009, after one year of the inaugural edition of the tournament, putting the average worth of the eight franchises at $67 million. With the league’s recent expansion to 10 clubs, that average has now reached a huge amount of $1.04 billion, representing a 24 percent yearly growth rate.

Chennai Super Kings (CSK) won the IPL 2021

Making a comparison of the last 13 years, NFL franchise values have been growing by 10% (to $3.48 billion) while NBA team values have witnessed a growth of 16% (to $2.48 billion). But the largest growth that an IPL team has ever seen is that of Mumbai Indians, the most valuable franchise now has reached the worth of $1.3 billion. The value that Mumbai Indians now hold is highest than six MLB teams, 27 NHL teams, and all of the MLS teams combined.

According to the latest report of Forbes, it is safe to say that IPL has been the most bulging cricket league in the world when sponsorships and media rights are taken into consideration. Thanks to BCCI, the cash-rich league is achieving laurels and the teams are gaining more and more popularity.

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Explaining the same, the managing director at Brand Finance India, a brand valuation and strategy consultancy, Ajimon Francis said, “The IPL is the most prominent cricket league in the world in terms of attracting sponsors and media rights. A lot of credit goes to founders of the IPL, who took ideas from the NBA and European soccer leagues, and good governance by the BCCI with regards to clear visibility of team funding and ensuring the tournament continued during Covid.”

The growth in values is reflected in transaction prices. The examples of Deccan Chargers and Delhi Daredevils can be considered. The former team was kicked out in 2012, but they were soon taken over by Sun TV, who paid more than double the amount that the previous owners did.

Something similar happened with the Delhi-based franchise, when the JSW group took over 50% rights from the GMR group, the valuation of the team witnessed a drastic change. Now, with two more teams joining IPL 2022, the numbers have touched the roof.

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Because of the huge fanbase that is indulging in the game and taking an interest in watching it, the IPL media rights have also been increasing every season. As the tenders for the media rights for the next term have been released, IPL is expected to increase the price even more. The number of people taking an interest in IPL has been increasing each passing day, and as a result, accounts for the massive success of the league.

Below is the list of IPL’s most valuable teams: