IN WHAT raises questions of potential conflict of interest, Indian cricket team captain Virat Kohli had invested in a company in February 2019, which today is BCCI’s (Board of Control for Cricket in India) official kit sponsor and merchandise partner.
Virat Kohli was allotted Compulsory Convertible Debentures (CCDs) for Rs 33.32 lakh in Galactus Funware Technology Private Limited, a Bengaluru-headquartered company, which owns the online gaming platform Mobile Premier League (MPL). Galactus is a subsidiary of M-League Pte Ltd, a company registered in Singapore in April 2018.
On November 17, 2020, BCCI announced MPL Sports as the new kit sponsor and official merchandise partner for the Indian cricket team.
As part of the three-year agreement, senior Indian men, women and under-19 teams will sport MPL jerseys. The Indian team has been sporting the MPL Sports — an arm of MPL — logo during the ongoing Australian tour. MPL Sports has the right to also sell licensed jerseys and other Team India merchandise.
Kohli was named brand ambassador of MPL in January 2020.
He had endorsed the gaming platform earlier too.
Kohli was allotted 68 CCDs with a face value of Rs 10, each issued at a premium of Rs 48,990 (Rs 33.32 lakh). These CCDs will be converted into equity shares at the end of 10 years, the conversion ratio being 1:1, i.e. one equity share for one debenture. Post-dilution, Kohli will have a 0.051 per cent stake in the company.