The corporate can also be exploring avenues to safe a strategic or monetary investor for the holding firm, Sagar mentioned, whereas refraining from sharing particular particulars.
“There’s a very robust intent on unlocking the worth on the GMR Sports activities stage, and we’re exploring as we communicate. Now we have not selected whether or not it will likely be a stake sale or itemizing. It’s tough to offer a timeframe. These are alternatives that can be evaluated over a while,” the CEO mentioned in an interview with Mint.
This transfer is a part of GMR Sports activities’ broader technique to maximise its potential within the aggressive sports activities trade.
Apart from a 50% stake within the Delhi Capitals IPL franchise, GMR Sports activities owns UP Yoddhas in Professional Kabaddi and the Final KhoKho franchise Telugu Yoddhas.
“We had been the unique homeowners of the Delhi Daredevils, however in 2018, we divested a 50% stake within the staff to the JSW Group (for ₹550 crore). Final 12 months, we added the Girls’s Premier League staff too. We additionally personal India Capitals within the Legends League.”
On a world scale, GMR Sports activities boasts Dubai Capitals within the UAE’s Worldwide League T20 and has not too long ago agreed, in precept, to purchase a minority stake within the Main League Cricket franchise, Seattle Orcas. Traders within the Seattle Orcas embrace Satya Nadella, Soma Somasegar, Samir Bodas, Ashok Krishnamurthi, and Sanjay Parthasarathy.
Initially an infrastructure firm, GMR entered the sports activities enterprise following different massive teams that ventured into this section.
Reliance Industries, Adani Group (Adani Sportsline), Tata Group, and JSW Group are a couple of of the key firms that personal sports activities franchises throughout a number of leagues.
“GMR sees loads of potential in sports activities, which is why the sports activities enterprise was carved out as a separate vertical with a really clear imaginative and prescient,” Sagar mentioned.
Below GMR Sports activities, the corporate intends to take part in any multiplayer sport in India, which it will probably consider and “see that it provides us which means to take part as a enterprise enterprise going ahead”.
“And whether it is outdoors the nation, we wish to restrict ourselves to cricket for the second. When alternative comes within the international cricket market that is how we’ve got deliberate a technique and plan to maneuver ahead,” the CEO mentioned.
He in contrast the sports activities trade’s challenges and dynamics of profitability to startup tradition, emphasizing the significance of staff valuation and the long-term profitability mannequin, drawing parallels to IPL groups’ success.
Sagar highlighted the success of GMR Sports activities’ Professional Kabaddi staff by way of viewership and sponsorships. He expressed optimism in regards to the potential of indigenous sports activities like Kho Kho, foreseeing important progress within the franchise mannequin over time.
“Our Professional Kabaddi staff is doing very effectively, each by way of viewership in addition to sponsorships. To be sincere, you may’t discuss cricket and different sports activities in the identical sense. They’re chalk and cheese. However having mentioned that, what Kabaddi has carried out to indigenous sports activities is any sport that is misplaced in transition, Kabaddi has introduced again the viewership and enthusiasm to look at the game,” he mentioned.
“Kho Kho can also be a superb sport to look at. It’s 28 minutes of pure pleasure. In all probability it wants some extra consciousness, however whoever began watching it, is hooked on. This time the match was performed with 18 cameras, they usually have carried out an amazing job. I’m one of many greatest supporters of the sport. Because the years go by, kabaddi and kho kho will make large waves on this franchisee mannequin.”
Moreover, GMR Sports activities has ventured into the health sector with a brand new gymnasium in Hyderabad. Sagar sees trendy gyms as instrumental in model progress and health promotion, expressing optimism about increasing to a number of places throughout the nation if the preliminary response proves constructive.
“We discover that trendy gyms with amenities which might be equal for athletes in addition to regular widespread individuals is a wonderful strategy to develop not solely the model but in addition carry the idea of health amongst individuals.”
“If every little thing goes effectively, we may have a couple of extra Yoddha gyms all throughout the nation. To begin with, we’re working on our personal, and going ahead if it really works, the franchise mannequin must also be within the offing,” he mentioned.
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Printed: 11 Feb 2024, 03:24 PM IST
Supply: Live Mint