Manchester Originals have become the first Hundred franchise to sell a majority stake to the owner of an Indian Premier League team.
Sanjiv Goenka, the billionaire owner of Lucknow Super Giants, was the winning bidder for the Old Trafford-based Originals, who have been valued at around £107 million in the Hundred auction process.
He has become the first investor to take a controlling stake in a Hundred franchise, purchasing the ECB’s 49 per cent share and 21 per cent of Lancashire’s share for around £75 million.
Goenka had missed out on winning the Lord’s franchise London Spirit last week, with his final offer of around £290 million trumped by a consortium of Silicon Valley billionaires who eventually partnered with MCC. But on Monday he pipped Kolkata Knight Riders and Amit Jain, the American-Indian billionaire who is thought to have been working with Royal Challengers Bangalore, on a bid.
In a letter to members, Lancashire chairman Andy Anson expressed his delight: “We have been very focused on securing a great partner, ideally from the IPL, and The RPSG Group have been our preferred partner for some time. We are sure this will be an exciting partnership, as we come together with a shared ambition to become the standout team in The Hundred – with purpose and impact at heart, a focus on entertaining fans, championing inclusivity, and celebrating our community.”
Lancashire have significant debts – including £33 million of bank debt according to their last accounts – so the money brought in by selling some of their 51 per cent share will be welcome. While 10 per cent of that money goes to the recreational game and 10 per cent is shared between the other first-class counties, they keep 80 per cent of the money.
The next team to be sold will be Northern Superchargers but, as the England and Wales Cricket Board and Yorkshire line up investors to compete, it is unclear whether the auction will take place on Tuesday or later in the week. After that will come Trent Rockets, followed by the final sale, Southern Brave, whose parent county Hampshire are already owned by an IPL franchise, the co-owners of Delhi Capitals, GMR.
Sunrisers Hyderabad are favourites to win the Superchargers auction, and are expected to acquire a controlling stake.
The Hundred auction has so far raised close to £350 million for the game, with full valuations of the five franchises sold approaching £700 million.
