New teams, new money: PSL expansion delivers highest franchise fees in league history

The Pakistan Super League entered a decisive new phase as Hyderabad and Sialkot were confirmed as the league’s seventh and eighth teams, following an auction that delivered the highest franchise valuations in PSL history and signaled growing international confidence in Pakistan’s marquee cricket product.

FKS, a United States-based aviation and healthcare conglomerate that also owns the Chicago Kingsmen, secured the Hyderabad franchise for PKR 1.75 billion (USD 6.2 million). 

OZ Developers, a real estate consortium, claimed Sialkot with a winning bid of PKR 1.85 billion (USD 6.55 million), making it the most expensive team ever sold in the league.

The figures comfortably eclipse all previous franchise fees and mark a sharp financial leap for a tournament that began a decade ago amid uncertainty and security concerns.

A bidding war that rewrote PSL valuations

The auction opened with a base price of PKR 1.1 billion for the first franchise — the annual fee payable to the Pakistan Cricket Board for a ten-year operating cycle. That number quickly became irrelevant.

FKS, led by Chief Executive Officer Fawad Sarwar, immediately pushed the bid to PKR 1.4 billion, an aggressive jump of PKR 150 million despite the minimum increment being set at PKR 10 million. 

What followed was a tense bidding duel with i2c, a financial technology firm, as the price climbed steadily before FKS surged ahead in decisive leaps — PKR 1.54 billion, PKR 1.68 billion and finally PKR 1.75 billion.

While the dollar value is marginally lower than the amount paid for Multan Sultans in 2018, that comparison masks a crucial detail: currency rates were frozen at artificially low levels during the previous cycle. 

In real terms, FKS has committed to the highest annual franchise fee the PSL has ever seen.

The Hyderabad valuation now sits in a league of its own. Lahore Qalandars, the most expensive of the original franchises, pay PKR 670 million annually. 

Hyderabad’s fee is nearly three times that amount — roughly equivalent to the combined fees of Lahore, Karachi and Peshawar.

“I still can’t believe we’re owners of a PSL team,” Sarwar said after the auction. “This is a childhood dream. We all started playing street cricket and backyard cricket, practicing in front of the mirror, trying to be the next big thing. I’m very proud, and I’d like to thank everyone who put us in a position to come where we are today.”

Encouraged by the first sale, the PCB set a markedly higher base price of PKR 1.7 billion for the second franchise — a steep PKR 600 million jump. That figure immediately narrowed the field.

Expansion momentum builds as PSL XI dates set

Pakistan Cricket Board Chairman Mohsin Naqvi welcomed the new owners, describing them as custodians not just of their franchises but of Pakistan cricket’s future.

Further expansion now appears inevitable. The PCB confirmed that at least one additional franchise will be sold next year. In the interim, the board will operate Multan Sultans for the upcoming season before putting the team back on the market. 

Former owner Ali Tareen, who withdrew from the latest auction despite being an approved bidder, has reiterated his intention to pursue the franchise when it becomes available again.

The 11th edition of the Pakistan Super League will run from March 26 to May 3, opening a new chapter for a tournament that has moved decisively from survival to scale.