Tata to pay record-breaking Rs 2,500 crore for IPL title sponsorship rights

Tata Group will pay Rs 2,500 crore, the highest-ever sponsorship amount in the history of Indian Premier League, as it won the title sponsorship rights of IPL, which has become a decacorn and is the richest cricket league in the world.
Tata has won the rights for for five years.

The TATA Group earlier held the title sponsorship rights for the IPL in 2022 and 2023, paying Rs 670 crore for the two-year rights. Tata is also the title sponsor of the Women’s Premier League, the largest women’s T20 league globally.

Tata retained title sponsorship rights from 2024 to 2028 by matching Aditya Birla Group's (ABG) bid, sources had told ET earlier. Aditya Birla Group and Tata Sons were the only companies in contention for the title sponsorship rights of IPL.

This comes after industry insiders linked muted interest in IPL title sponsorship rights to the inclusion of the right-to-match clause, which had caused confusion among several potential bidders.

According to the tender released on December 12, the BCCI set the base price for the five-year rights at Rs 1750 crore, translating to Rs 350 crore per year for 74 matches.

Until January 12, the deadline for bid submissions, ABG was the only bidder. As part of the agreement between BCCI and Tata Sons, the conglomerate had the privilege to match any successful bid.

The BCCI suggested that bidders consider applying for 84 and 94 matches at base prices of Rs 375 crore and Rs 400 crore, respectively.

"We are elated to announce the partnership with the TATA Group as the Title Sponsors of the IPL. The league has transcended borders, captivating audiences worldwide with its unmatched blend of skill, excitement, and entertainment. Similarly, the TATA Group, rooted in India, has emerged as a symbol of excellence, making its mark across diverse global sectors," said Jay Shah, Honorary Secretary of BCCI.

Jay Shah said Tata's collaboration with IPL embodies the spirit of growth, innovation, and a mutual dedication to excellence.

"The unprecedented financial commitment reflects the immense scale and global impact of the IPL on the international sports stage,” he said.

IPL has attained decacorn status, witnessing a remarkable 28% surge in its combined brand value to reach $10.7 billion, as reported by Brand Finance. Furthermore, the overall brand value of the IPL system has experienced an impressive 433% increase since its inception in 2008.

Arun Dhumal, chairman of the Indian Premier League (IPL), had said the cash-rich league's media rights value may reach a staggering $50 billion in the next 20 years.

Tata Sons assumed the role of IPL title sponsor following Vivo's withdrawal from the deal amid the backlash against Chinese brands due to border tensions.

DLF, Pepsi, Vivo, and Dream11 have previously held these rights, with the annual value increasing from Rs 40 crore, paid by DLF for 2008–12, to Rs 440 crore per year, as offered by Vivo for 2018–19.

"The collaboration with TATA Group for the title sponsorship of IPL 2024-28 is a significant milestone in IPL’s journey. The record-breaking sum of INR 2500 crore by TATA Group is a testament to the immense value and appeal that the IPL holds in the world of sports," said Arun Singh Dhumal.

This remarkable sum not only establishes a historic benchmark in the league's history but also underscores the IPL's standing as a premier sporting event with worldwide influence, he said.

The TATA Group's dedication to cricket and sports is truly praiseworthy, and we anticipate achieving new milestones together, delivering unmatched cricketing entertainment to fans, Dhumal said.