The board of Mcot Plc, the broadcaster of Modernine TV, yesterday set up a committee to clarify English Premier League (EPL) broadcasting rights.
The committee comprises Mcot vice-chairman Chakapan Yomjinda, vice-president Thanachai Wongthongsri and directors Surachai Kositseriwong and Yongyut Chaipromprasit.
Mcot's labour union earlier asked the management to clarify the financial prospects of the broadcasting deal.
Chairman Sutham Saengprathum said there are two options.
First, Mcot could sub-lease EPL broadcast rights from CTH (formerly known as Cable Thai Holding), the new rights holder in Thailand, for three years at a cost of US$16.5 million, or around 510 million baht. Mcot would pay $5.5 million a year and find advertisers.
The second option is a revenue-sharing method. Mcot would share 65% of total revenue and CTH 35%. Mcot would pay 70 million baht a year for the rights.
"The most viable solution is revenue-sharing, as it could help reduce pressure from the union," Mr Sutham said. "However, low risk means low return."
Mcot will broadcast 17 EPL matches each season.
The station has already launched pre-sales for EPL sponsorship packages and so far has received expressions of interest worth 248.5 million baht for the 2013 football season. Under the revenue-sharing method, Mcot would receive about 90 million baht of this.
Mr Sutham said company president Anek Permvongseni brought the EPL deal with CTH to Mcot.
"The EPL deal has nothing to do with politics. It's purely a transparent business deal to help raise viewership," he said.
An Mcot source said the EPL issue arose from internal conflicts and unsettled benefits.
After Mr Anek was chosen as president in November, he restructured the station's top management by moving Khemmathat Pholladet, former assistant managing director for marketing, to an inactive post at Mcot Academy.
The marketing department is now under Mr Anek's supervision.
About the author
- Writer: Saengwit Kewaleewongsatorn
Position: Business Reporter