Franchises, PCB resolve production cost sharing dispute

It looks like that Pakistan Cricket Board (PCB) and Pakistan Super League (PSL) franchises have finally decided the financial model for revenue sharing following their successful meeting in Lahore on Monday.

According to Daily Express, franchises representatives seem satisfied following an assurance from the board that the production cost of the tournament will remain the same as PCB will bear all expenses of PSL matches that are scheduled to be played in Pakistan.

The owners and PCB officials were happy after the board managed to secure a $36 million broadcasting rights deal for the period of three years.

But the situation between PCB and franchises became tense after the board revealed that the production expenses have increased up to $5.1 million, mainly due to addition in venues for the event.

It must be noted here that franchises mostly rely on the income they receive from the broadcasting deal — which is 85%. However, they also have to bear the production cost of the tournament.

For the first time in the competition’s history in the United Arab Emirates (UAE), PSL matches will be played at three venues in Abu Dhabi, Sharjah and Dubai, while, eight matches are scheduled to be played in Pakistan in Karachi and Lahore.

Furthermore, the representatives also asked the board to reconsider its share in sponsorship deal. However, the board asked to franchises to clear their dues first.

Not a single franchise deposited the 50% of player’s fee which is due after the conclusion of PSL draft.

Franchises are bound to pay 50% of the fee following the draft, 30% ahead of the PSL and remaining 20 percent during the tournament.