This archive report was first published on 30 August 2019.
The Kenyan Premier League (KPL) season kicked off on Friday, but the league is facing significant financial uncertainty due to the cancellation of SportPesa's sponsorship.
As reported on August 30, 2019, SportPesa was the league's title sponsor, pumping in Sh96 million last season. The company was also a direct sponsor of the country's two most popular clubs, Gor Mahia and AFC Leopards, to a tune of Sh66 million and Sh52 million respectively.
KPL CEO Jack Oguda revealed that the league is in talks with several organisations, but is worried that the league could grind to a halt soon if the financial situation doesn’t change.
“Without a sponsor on board we are facing huge financial challenges but we have been in touch with over 25 corporate organisations and recently zeroed on one who expressed interest. We are trying to hasten the negotiations, but talks of such magnitude take several months to conclude,” Oguda said.
Only around 10 of the 18 teams taking part in the 2019/20 season can comfortably meet their costs, with the rest struggling to make ends meet. The sugar industry in Western Kenya continues to plummet, affecting teams in the region such as Sony Sugar and Nzoia Sugar.
Mathare United, which landed a lucrative three-year sponsorship deal with betting company OdiBets worth Sh20 million annually, is also struggling to meet its financial needs. The club's CEO, Jectone Obure, revealed that OdiBets have hinted to them that they will not support the team this season due to tax issues.
AFC Leopards Chairman Dan Shikanda urged the government to support the league, saying that football directly employs many youths and that the government should put the money collected from betting companies to good use.