Cricket Australia allows up to 33% private stake in Big Bash tournament
Cricket Australia has decided that private investors will be allowed to buy stakes up to 33 per cent stake in the city-based franchises for the Australia's Big Bash League from 2011-12. Eight teams will
represent the Big Bash from the next season when it takes the city-based format instead of the current state-based format and Cricket http://www.senore.com/Cricket/Australia-c746 will own and control the competition.
Earlier, there were reports that big Indian companies had already bought stakes in the various teams in the competition.
CA chief executive James Sutherland said that the board was happy with the interest that was being generated in the tournament.
"We're very excited and optimistic of the existing interest in these teams and the Big Bash League. Some of the valuations we have done recently put these teams immediately into the upper echelons of Australian
sport in terms of value in sporting teams," he said.
While the tournament will be played on the lines of the Indian Premier League, Cricket Australia will look to not repeat the errors made by the IPL. Kings XI http://www.senore.com/Cricket/Rajasthan-c837 Royals, two of the IPL franchises
have already been given the boot while Kochi could be the third team expelled.
To overcome the issue, Sutherland said, "Under the licensing agreement, which each of the states and teams will be bound by, there will be a process of Cricket Australia maintaining the rights to vet or approve
any investors in any of these teams."
While there will be no auction involved in the tournament, the board could decide on a salary cap for the players. There are also plans that the tournament will be played in the month of January to ensure
that all the big-ticket players represent the respective sides.
The six state sides that currently play domestic cricket in Australia will contribute a city-based team each, while the remaining two will be decided by February 2011.
The first edition of the tournament will be played in December 2011.
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