IPL 2021 Big Update: Chinese mobile maker Vivo, which has suspended its IPL sponsorship rights for the 2020 edition, is considering exiting the Indian Premier League by transferring its rights to Interested bidders, which may include Dream11 fantasy gaming platform and startup Unacademy Tech Education.
Dream11 was the IPL title sponsor for the 2020 release, taking the rights to Rs 222 crore, which is nearly half (Rs 440 crore) of what Vivo paid annually for a five-year contract.
It is understood that in the prevailing situation where the geopolitical relations between China and India are in a delicate state, Vivo realizes that it is unwise to continue the partnership for the remaining two years.
“It is almost final for Vivo to exit the IPL address sponsorship agreement by mutual consent with the board. It has been suspended for the 2020 edition. However, there is a clause that allows them to transfer their outstanding responsibilities as sole sponsors for the title to the new winner. If the board agrees in principle, it could happen. This was stated by a senior source in the Bahrain Chamber of Commerce and Industry to PTI on condition of anonymity.
With the IPL set to expand 9 or 10 teams in 2022, the new bidder is expected to secure the title sponsorship rights for at least three years.
Dream11 and Unacademy will present their offerings to Vivo. In any case, Unacademy is an associated sponsor and is willing to offer a larger sum to acquire the rights to Vivo, ”said an industry expert who has been tracking developments.
MPL, who is the sponsor team for Team India, is known to be unable to choose Title Sponsorship because Dream11 was a Senior Partner and will have what they call in the sponsorship language "Category Exclusive".
BCCI bosses hope that a clearer picture will emerge by the end of the week once Vivo has a tangible final presentation.
“See, Vivo paid nearly 440 crores (Rs 2,190 crores for 5 years). Now, if BCCI calls for bids, like last year when Dream11 paid Rs 222 crores, it might go up, but it can't be doubled. But if it is There is a transfer of rights, so the previous amount can be equalized or even improved.
The IPL Auction will take place on February 18th in Chennai with a maximum of 61 available spaces.
"Since the transfer of property rights will take some time, it is expected that the Vivo logo will be used during the auction on February 18th."