Chinese firm Vivo is expected to pull out of IPL 2020 sponsorship amid heightened border hostilities between India and China.
The technology company currently has a five-year deal with the IPL till 2022 as it acquired the sponsorship rights by paying more than $330 million.
However, diplomatic tensions amongst the neighbouring countries of India and China including a violent border clash prompted vehement calls of boycotting Chinese goods.
The BCCI had earlier released a statement where it declared that the Chinese sponsorship of the world's richest cricket tournament would be reviewed.
One of the decisions made at the IPL Governing Council meeting recently related to retaining Vivo as the main sponsor but this step drew intense criticism from the political circles.
Reports now suggest that the BCCI is negotiating a reasonable way for phonemakers Vivo to exit the deal as both parties desire "an amicable escape route".
The BCCI was in talks with Indian companies about stepping in for this year but expected to make less than the $60 million it would have got from Vivo, Press Trust of India reported.
The much-delayed competition will commence on September 19 in the UAE with the event lasting a total of 53 days. The withdrawal of Vivo is not meant to have a significant impact on the financial status of the franchises.