The Hundred, a UK-based cricket league, has made headlines with a whopping £520 million investment secured through the sale of all eight franchise stakes. These stakes were snapped up by a diverse group of investors, including owners of football clubs and Indian Premier League (IPL) sides. The bidding process was facilitated by Deloitte and the Raine Group in collaboration with the England and Wales Cricket Board (ECB), the governing body of the 100-ball format competition.
Franchise Sales and Investment
The total enterprise value of the eight franchises exceeded £975 million, with each bid now entering an exclusivity process, paving the way for £520 million to flow into leagues under the ECB’s jurisdiction. Previously owned solely by the ECB, the franchises saw 49 percent of their stake made available to outside investors, while the remaining 51 percent remained with the host counties.
Lancashire led the charge by selling a portion of their stake in the Manchester Originals franchise, with 70 percent now in the hands of the RP-Sanjiv Goenka Group. The Northern Superchargers from Yorkshire followed suit by selling their entire stake to Sunrisers Hyderabad. The high-profile sale of a 49 percent stake in The Hundred franchise Trent Rockets to Todd Boehly, Chairman and Co-owner of Chelsea, through Cain International, added more excitement to the mix.
Notable Buyers and Impact
The acquisition spree continued as Avram Glazer, co-owner of Manchester United, sought ownership of the London Spirit franchise. However, a consortium of US-based tech billionaires, spearheaded by Palo Alto Networks CEO Nikesh Arora, claimed the stake for £145 million. Knighthead Capital, with Tom Brady as a partner, secured a 49 percent stake in the Birmingham Phoenix, while the India-based conglomerate GMR Group, owners of IPL side Delhi Capitals, sealed the deal with a 49 percent ownership of the Southern Brave franchise.
This frenzy of acquisitions culminated with investments pouring into the Rockets, the Spirit, the Phoenix, Northern Superchargers, Oval Invincibles, Manchester Originals, and Welsh Fire. ECB Chair Richard Thompson hailed the auction as a “catalyst for cricket’s growth,” emphasizing its positive impact on engaging new fans, showcasing top-tier players, and boosting women’s cricket. The funds raised are earmarked to support professional counties and the recreational game, ensuring the sport’s sustained growth in England and Wales for generations to come.
The success of the IPL, a Twenty20 cricket league, inspired the ECB to launch The Hundred in 2021, featuring a slightly shorter 100-ball format. This innovative approach, aimed at attracting younger audiences and families, emphasizes reduced ticket prices and broader appeal to mainstream broadcasters. The valuations of the eight Hundred franchises, though exceeding current annual revenues by multiple folds, reflect the league’s incredible potential and the enduring popularity of short-form cricket as a global entertainment product.
As cricket continues to evolve and captivate audiences worldwide, the infusion of investment into The Hundred heralds a new era for the sport, promising exciting developments and growth opportunities on the horizon. Stay tuned for more thrilling updates as cricket’s landscape transforms and expands in the years to come.
