NEW DELHI: IPL franchise Punjab Kings franchise is facing internal turmoil as a dispute among its owners has reached the Chandigarh High Court.
According to a Cricbuzz report, actress and co-owner Preity Zinta has filed a legal appeal seeking to prevent fellow owner Mohit Burman from selling a portion of his franchise shares.
Zinta, who holds a 23% stake in the franchise through KPH Dream Cricket Private Limited, has alleged that Burman, who holds the largest share at 48%, is attempting to sell 11.5% of his stake to an unnamed party.
This action violates an internal agreement among the owners, which mandates that any stake intended for sale must first be offered to existing promoters within a specific timeframe before being offered to external parties.
While Burman has publicly denied any plans to sell his shares, Zinta’s legal action suggests a breakdown in communication and trust within the ownership group. This internal conflict arises at a time when IPL franchise valuations have skyrocketed following the addition of two new teams in 2022.
The potential sale of even a partial stake in a franchise like Punjab Kings could be valued at approximately Rs 540-600 crore, making it a significant financial decision with potentially long-term implications for the franchise.
The case, scheduled for a hearing on August 20, has cast a shadow of uncertainty over the Punjab Kings. Attempts to reach Zinta, Burman, and Ness Wadia, another co-owner, for comments have been unsuccessful.
According to a Cricbuzz report, actress and co-owner Preity Zinta has filed a legal appeal seeking to prevent fellow owner Mohit Burman from selling a portion of his franchise shares.
Zinta, who holds a 23% stake in the franchise through KPH Dream Cricket Private Limited, has alleged that Burman, who holds the largest share at 48%, is attempting to sell 11.5% of his stake to an unnamed party.
This action violates an internal agreement among the owners, which mandates that any stake intended for sale must first be offered to existing promoters within a specific timeframe before being offered to external parties.
While Burman has publicly denied any plans to sell his shares, Zinta’s legal action suggests a breakdown in communication and trust within the ownership group. This internal conflict arises at a time when IPL franchise valuations have skyrocketed following the addition of two new teams in 2022.
The potential sale of even a partial stake in a franchise like Punjab Kings could be valued at approximately Rs 540-600 crore, making it a significant financial decision with potentially long-term implications for the franchise.
The case, scheduled for a hearing on August 20, has cast a shadow of uncertainty over the Punjab Kings. Attempts to reach Zinta, Burman, and Ness Wadia, another co-owner, for comments have been unsuccessful.