One of India's largest business conglomerates, the Tata Group is set to replace Chinese mobile manufacturer Vivo as the Indian Premier League's title sponsor for the next two years.
The Tatas will be paying around Rs 670 crore for two years of title sponsorship while Vivo will pay a total of Rs 454 crore for termination of contract making BCCI earn a whopping Rs 1124 crore for seasons 2022 and 2023 respectively.
Jay Shah, Secretary of BCCI, commented on the decision and said, “This is indeed a momentous occasion for the BCCI IPL as the Tata Group is the epitome of global Indian enterprise with an over 100 year old legacy and operations in more than 100 countries across six continents."
The Tatas will be paying the total amount at the rate of Rs 335 crore per year of which Rs 301 crore will be the Rights Fee and an additional Rs 34 crore would be the incremental fee.
As per information, Vivo had committed Rs 996 crore for the two years' title sponsorship (2022 and 2023) with Rs 484 crore in 2022 and 512 crore in the next year. The value shot up as the IPL expanded to a 10-team event featuring 74 matches this year instead of the 60 which were in place with eight teams.
Since Vivo decided to terminate the contract, it will have to pay Rs 183 crore for 2022 and Rs 211 crore for 2023. In addition to that, Vivo will also have to pay a 6 percent assignment fee for both years which comes to Rs 29 crore in 2022 and Rs 31 crore in 2023.
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