Star and Viacom18, controlled by Walt Disney, won the A and B packages, respectively, in the latest round of rights auctions that evaluated the Cricket League as the second richest sporting event in the world.
Disney will spend Rs 23,575 crore and Rs 18,500 crore to broadcast the games via TV and digital media, respectively, in India until 2027.
To confirm, Viacom18 has won bids in other categories as well, and its total scheduled payments are over Rs 23,750 crore.
“Both companies need to provide bank guarantees (BGs) to meet their obligations to the Cricket Board, and are in advanced talks with more than six lenders to finalize their deals,” said a person familiar with the negotiations.
Disney-Star and Viacom18 are arranging collectively for around Rs 9,600 crore non-financial guarantees that can be cashed out by BCCI if there are any payment issues over the next five years.
Disney Star is in talks with at least four banks — BNP Paribas, Deutsche Bank, HSBC and Standard Chartered Bank — for guarantees that will be renewed each year, people familiar with the negotiations told ET. This will cover around 80% of the amount to be paid for the first year of coverage, estimated at ₹ 4,715 crore.
For the remaining 20%, the company may tap US-based lenders — such as Bank of America or JP Morgan — said another person familiar with the negotiations.
Meanwhile, Viacom18 is in the process of finalizing a deal with SBI, ICICI Bank and
. “These talks are almost over,” said a third person with knowledge of the operation.
Viacom18 and the selected banks did not respond to ET’s mailed inquiries. Disneystar, BNP, Deutsche, HSBC and Standard Chartered declined to comment.