Kashmir’ sixth team in PSL, face problems: Sethi1,130 views
Najam Sethi, the chairman of Pakistan Super League (PSL) on Monday stated that the adding of Kashmir as the sixth team in the second edition of the occasion can confront some obstacles.
In the opening edition, five teams titled Lahore, Karachi, Islamabad, Quetta and Peshawar took part and were provided a written protection by the Pakistan Cricket Board (PCB) that a sixth team will not be put till the third edition.
Sethi further commented that “We will not have [a new team] until the third year; that is written,” he further added, “But at the same time we are looking at the financials about the addition of a sixth team, in terms of whether it will be Kashmir, Faisalabad, Sialkot, Gilgit-Baltistan or any other team. That decision is pending. We have to weigh the pros and cons and that’s the issue right now but we cannot have it until all franchises agree. Without their consent we can’t make it [happen].”
The difference from franchises may arrive as of the possible cut in their allocation from the central income pool. Sethi stated that he is making effort to persuade the five franchises who got 70% of the profits from the introductory edition.
He continued as, “Of course we have to offer guarantee to the teams that they will be better by having a sixth team and have to convince them,” he added, “I have my team working on different values, estimated profits and revenues before pitching this idea to them but this idea is definitely under consideration. Basically, the advice from our finance department is that this is the high time to add sixth team as the values are very high at this stage before the second edition. We have to cash in the hype we have created from the first edition and this may go down next year.”
Sethi also explored into facts regarding the monetary features of the initial edition and verified that every franchise’s spending cap has been elevated by 10% from the initial edition when it was US$1.2m. He further stated they spent additional from their anticipated budget but yet handled to produce revenue.
Sethi added that “We beat our own expectations and the asset value of each team has increased drastically,” he continued as, “Teams aren’t really making profits right now from the market and they need time to make themselves a proper brand but their asset value has gone up significantly. If any of the teams want to sell their team they can get a hike of one million in their original price, which is a welcoming sign.”
He stated, “We sold franchises in $9.3million with the first year and revenue from other means was $2.11million for the first edition. We spent $1.22million extra from our estimated budget that was $7.71m; the expenditures were $4.71m in direct and $4.22m in operational cost which is mainly because of the high value of renting the stadium in UAE which cost us $3.27m (Dubai and Sharjah).”