The unlisted share market of India is becoming an outlet of high growth opportunities worth over 75, 000 crores in 2024. One of the stocks that people are discussing in this segment is Chennai Super Kings Cricket Ltd (CSK), which is the sole company with an IPL franchise that is selling its stock in the pre-IPO market.
Enjoying positive results on the field regularly and an enthusiastic fan base, shares of CSK is indeed an interesting combination of emotional equity and financial opportunity, which is currently not listed on stock exchanges. As the brand value escalates and the profit continues to grow, let’s analyse the company and its performance in the unlisted share market.
About CSK Unlisted Shares
Chennai Super Kings is a very successful team in the Indian Premier League (IPL), founded in 2008, having won the championship five times. Chennai Super Kings Cricket Ltd is a demerged unit of India Cements; it manages the team. Besides having gained domination over the IPL, CSK has acquired foreign franchises such as Joburg Super Kings (SA20) and Texas Super Kings (MLC,) spreading its presence outside India.
CSK has a legendary brand image, powerful management with N. Srinivasan as the head and commercial success through the sponsorships and broadcasting rights, and it has an impact in both the world of sports and business. By 2024, the franchise was worth the highest IPL team of 231 million dollars.
CSK Unlisted Share Analysis
In Aug 22, the CSK share was trading at Rs 163. By September 24, the share price reached 224. The stock has continuously grown especially during the IPL season as the stock is closely coupled with investor expectations depending upon the outcomes of the team.
But after September 24, the csk unlisted price began falling. This, coupled with RCB winning and the decreasing brand value of MS Dhoni, led to a decline in the CSK unlisted share price.
Financial Aspects
In regard to finance, CSK is in a stable position. In FY24, the revenues increased to 7,232 million up by 122 per cent in the previous year, 3,253 million. PAT also increased by a large margin up to Rs. 2,015 million compared to Rs. 138 million in FY23. CSK is one of the most profitable sports teams with a high EBITDA margin and good cash flow from operations ( 3,295 million).
This aspect is being supported by the company’s Return on Total Assets (24%) and Return on Capital Employed (34.9%). Though its stock is not paying dividends in current times, it is investing to grow, including cricket academies and training centres.
Conclusion
CSK is not strictly a cricket team, but a budding sports and entertainment brand having solid fundamentals with an emotional value. It has the advantage of unlisted shares, which present investors with some special opportunities to own a share of a franchise with grand natures and backed by financial success.
Even though the short-term movements may be associated with the IPL performance or the future of MS Dhoni, the industry growth story is very strong in the long term.