Last Updated on 31 minutes ago by Charbel Coorey
Serious interest from IPL owners and other Indian investors has been triggered by Cricket Australia’s move to open up select Big Bash League franchises to private investment, but serious commitments are yet to emerge, as reported by Cricbuzz.
It is understood that a number of IPL groups have looked at the opportunity, but none have publicly committed to investing in the BBL.
Cricket Australia has appointed the Raine Group to run the investment process, and the Melbourne Renegades are fully up for sale. The sale should conclude by Christmas, but potential investors face the challenge of succeeding in the Australian market. Hobart Hurricanes and Perth Scorchers are also expected to be available later on.
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IPL Teams Face Questions Over Ownership Structure
For IPL franchises, the ownership structure could be the biggest hurdle. The Renegades are available to buy outright but future sales will be restricted to a 49 percent stake. CA chairman Mike Baird has made it clear the governing body and its members will retain control over key areas, including international scheduling, player availability, salary caps, branding, license prices, and investor approvals.
In contrast, IPL owners have taken full or significant control in several other big franchise leagues. IPL franchises now own teams in leagues like SA20, ILT20, CPL, and MLC. Their involvement in The Hundred has also involved significant stakes, with some owners even having operational control while being minority owners.
Another issue for potential investors is the availability of top Australian players as Test cricket is played during the BBL season. It’s also unclear how many overseas players would be available for the BBL at this stage. The league is also up against tournaments in South Africa, the UAE, and Bangladesh where payments are more player-friendly.
Travel can also affect the competitiveness of the league. Australian cities are usually a long way apart so teams might have long trips, especially to Perth. This is quite different from leagues like SA20 where travel between venues is much shorter and hence can result in higher logistics expenditure too.
Another thing IPL investors are examining is the media rights situation. CA is already three years into a seven-year broadcast deal, meaning there is limited scope for owners to immediately benefit from a fresh media rights cycle. Prospective investors are also looking at the role and influence of the Australian Cricketers Association, who are currently negotiating with Cricket Australia on a new Memorandum of Understanding (MoU).
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