With the I-League set to see new clubs coming into its fold, Goal brings to you a series of articles that will enlighten you with the criterion that the club must satisfy...
The All India Football Federation (AIFF) has been extremely pro-active about bringing in bidders for the proposed new clubs for the I-League season 2013-14. With open house meetings being held at Delhi and Dubai to invite bidders to establish football clubs in different cities of the country, the federation is attempting to leave no stone unturned in bringing about a change in the football geography in India.
As learnt by Goal in an exclusive interview with AIFF General Secretary Kushal Das, six bid documents have been bought by interested parties. A Request for Proposal (RFP) document is to be studied carefully by the bidders who will then decide whether to proceed with the transaction or not based on agreement with the terms and conditions specified in the document.
We at Goal, will be revealing to you the conditions that have to be satisfied by interested bidders in order to establish a new I-League club in the country. The selection process of the clubs will be two staged i.e. Pre Qualification Evaluation and Techno-Commercial Evaluation.
In this article, we will be highlighting the Pre-Qualification criterion imposed on the bidders
- The bidder should be a company registered under the Companies Act, 1956. In case of a foreign entity, the entity must have been incorporated as per the company’s rules and regulations of the country of origin.
- Legally binding undertaking by the Lead bidder to incorporate, within 30 days of award of contract, a special purpose vehicle in form of a private limited company to undertake the scope of work described in this RFP. The bidder and, in case of a Consortium the lead bidder, should atleast have 51% equity in this new entity and continue to have the same for the first three years period.
- In case of consortium the details of role to be played by each member of the consortium and their proposed equity structure for new entity is to clarified. The lead bidder should atleast have 51% equity in this new entity and continue to have the same for the first three years period
- The bidder should provide a legally binding undertaking as a security towards accomplishing the obligations undertaken therein.
- Financial details of Bidder or lead bidder in case of a consortiums mentioned alongside
- In case the successful bidder has Net Worth greater than INR 500 crores, they will be required to provide a corporate guarantee for meeting all the obligations of new entity in fulfilling the requirements as stated in this RFP document. The validity of corporate guarantee will be five years and will have to be provided within 45 days of a letter of Intent by AIFF.
- In case the successful bidder has Net Worth of the less than INR 500 crores, they will be required to submit Performance Bank Guarantee of INR 100 crores to AIFF. The validity of Bank guarantee will be five years and will have to be provided within 45 days of a letter of Intent by AIFF.
- The responding company does not have any direct/indirect holding in existing football clubs of I-League.
- The responding Company/ agency should have made a payment of INR. 1,00,000 (Rupees One Lakh Only) as tender fees.
- The responding Company/ agency should have submitted an Earnest Money Deposit of INR. 5,00,000 (Rs. Five Lakhs)
- The successful bidder will be required to submit Performance Bank Guarantee for INR 15 crores in the form of Bank Guarantee (BG). The validity of Bank guarantee will be five years from the date of incorporation of new entity. This will have to be provided within 45 days of a letter of Intent by AIFF.
How do you stay up with football when on the move? With http://m.goal.com –your best source for mobile coverage of the beautiful game.