Magellan, Asics & LG Tear Up Cricket Sponsorships, As CA Dismisses Broadcast Rights Concerns
Cricket Australia’s naming rights sponsor for men’s Test matches has terminated its three-year deal with the sporting body as the fallout from the ball-tampering scandal involving the national team continues to play out.
Magellan broke the news in a statement to shareholders this morning that it was ending its sponsorship agreement – which only began in August last year – with CA.
“A conspiracy by the Australian men’s Test cricket team which broke the rules with a clear intention to gain an unfair advantage during the third Test in South Africa goes to the heart of integrity,” Magellan co-founder and CEO Hamish Douglass said.
“Regrettably, these recent events are so inconsistent with our values that we are left with no option but to terminate our ongoing partnership with Cricket Australia.
“We are delighted with the recent Magellan Ashes Series sponsorship, and it is with a heavy heart that we have to end our partnership in these circumstances.”
Magellan is not the only sponsor to take decisive action regarding its cricket sponsorships, with Asics announcing this morning that it has terminated its contracts with David Warner and Cameron Bancroft.
As a result of last weekend’s events in Cape Town involving members of the Australian men’s cricket team and following the sanctions made by Cricket Australia, ASICS has terminated its sponsorship contracts with David Warner and Cameron Bancroft, effective immediately.
— ASICS Australia (@ASICSaustralia) March 28, 2018
This comes after LG said it would not renew its sponsorship contract with Warner yesterday, while Sanitarium has removed any mention of dumped captain Steve Smith in its online assets.
The ball-tampering scandal could not have come for a worse time for CA, as it looks to lock down a new broadcast rights deal.
On expert believes cricket could lose up to $500 million in broadcast rights. However, a Cricket Australia spokesperson told The Australian that it expects the events of Cape Town will have no impact on their value.
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