Somerset Entertainment Ventures – Media Clarification
The New Interim Committee of Sri Lanka Cricket assumed office on 4th July 2011. The electronic and print media has in the recent past highlighted certain issues regarding the Agreement signed between Sri Lanka Cricket and Somerset Entertainment Ventures (SEV). The Interim Committee has since it assumed office taken time to study the relevant documentation and files in this regard.
Tenders were called via the media and 5 bidders submitted their bids. The SEV bid was the highest bid submitted and after evaluations were done by the Heads of Marketing and Finance, the Interim Committee duly approved the award of the tender to SEV on 7th July 2010. The tender was awarded thereafter.
The value of the tender was US$ 1,750,000/- for a period of 5 years from 2011 to 2015. As per agreement, the Sponsor (SEV) acquired sole rights for Marketing and Sponsorship for the CLT 20 Tournament, Inter Provincial T20, ODI and 4-day formats of the tournaments. The Marketing and Sponsorship rights included: -
- All Broadcasting and Media rights
- All Title sponsorship rights.
- All team(s) sponsorship rights.
- All clothing and merchandising rights.
- All logo rights.
- All Perimeter boards, pitch and boundary line tape advertising rights,
- All food and beverages distribution and sales rights.
- All ticket sales revenue rights.
- All signage rights.
- All event promotion rights.
- Rights to appoint official travel, media, airline, drink suppliers etc for the events.
- Team selling rights on a 50/50 share basis with SLC.
Since all of the above rights have been given to SEV, it is their sole prerogative to award these rights at their discretion, with Sri Lanka Cricket not having any input on the awarding process of such rights.
As per the Agreement, the Contract is valid for 5 years from the date of signing of the agreement. The team ownership rights remains with Sri Lanka Cricket until the teams are sold to potential buyers who would pay a premium to secure the same. 50% of the Revenue from this sale accrues to Sri Lanka Cricket, over the period of 25 years that this ownership subsists for. A 50% share been agreed with SEV, bearing in mind that they need to invest in logistical arrangements, staffing, overseas players and other expenses which need to be incurred to build the brand image and quality of this tournament.
All other rights other than team ownership would be available for Sale after 5 years.
Sale of Media Coverage
The broadcasting and media rights are solely at the discretion of SEV and SLC has no control in this regard. We are made to understand that SEV has negotiated with Rupavahini & MTV and relevant documentation with regard to the negotiations have been sent to SLC upon our request.
