BCCI New Title Sponsor: After Paytm missed the deadline to request a reassignment in July, MasterCard will reportedly take over as Team India’s new title sponsor for international and domestic matches.
According to media reports, transfer agreements have been settled, and new hires will be announced during the first week of August. Paytm reportedly wanted to back out of the agreement, and MasterCard reportedly expressed a strong interest in buying the rights for the same fee.
“MasterCard will be assigned the rights till 2023–the original terms of the Paytm deal. They will continue to pay Rs 3.8 crore, while Paytm will have to pay 5% of the original deal value as a re-assignment fee,” a source close to the development told ET.
A contract for the title sponsorship worth INR 203 Crore for 4 years was signed by Paytm and BCCI in 2015. (i.e. Rs 2.4 crore per match). The agreement was most recently extended in August 2019 for a period ending in March 2023, although according to recent sources, MasterCard will reportedly be given the rights to continue paying INR 3.8 Crore through 2023.
According to reports, the board has agreed to Paytm’s request for the transfer of its ownership rights. Meanwhile, Paytm will have to pay a re-assignment fee of around Rs. 16.3 crores, 5 percent of the original deal value (INR 326.8 crore) as the ongoing agreement between BCCI and Paytm runs from September 2019 to March 31, 2023.
With a winning proposal of Rs 3.8 crore per match, Paytm extended its association as the title sponsor for local and international cricket events in India by four years in August 2019. The rights are anticipated to be reassigned by CCI to MasterCard for the same fee because Paytm didn’t request reassignment of the sponsorship by the deadline in July. The BCCI reportedly granted Paytm’s request, nevertheless, due to the general two firms’ “longstanding” relationship.
The transfer agreements have been drawn, and signing will happen the first week of August, as per ET (Economic Times) report.
Recent Comments