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The shares of the company dropped 4% to Rs 342 on BSE at 2.20 pm IST. It touched an intra-day low of Rs 339.
Sun TV will have to pay Rs 85.05 crore per year to the Board of Control for Cricket in India (BCCI) for the Hyderabad IPL franchise.
"This Franchise fee represents a premium of over a 100 % above the amount paid by DCHL for the Hyderabad Franchise in 2008", the BCCI said in a media release.
The SUN TV Network bid was considerably higher than the second bid of PVP Ventures, which was 69.03 crores.
While, the shares of the PVP Ventures surged 5% even though it lost the bid.
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