Billionaire behind Olympics tower buys 5,000 top tickets to Games

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12 April 2012

BRITAIN's richest man, Lakshmi Mittal, has bought more than 5,000 top tickets to the 2012 Olympics.

The £29.8 billion businessman has landed the deal for 320 prime seats a day in return for services provided to Games organisers, Locog.

His company, ArcelorMittal, has agreed the deal which allows Games chiefs to rent out the Orbit Tower during the Games.

The firm said it was sensitive to public anger at missing out on tickets in the ballot. A million applicants were left empty-handed and will be told next week when they can apply for the remaining tickets on a first-come-first-served basis.

The 115-metre tower, commissioned by Mayor Boris Johnson and designed by Anish Kapoor, is in a prime spot between the stadium and aquatics centre, and has a restaurant and viewing platforms.

ArcelorMittal is among seven "tier two" Games sponsors, including Cadbury, accountants Deloitte and delivery firm UPS, which have paid between £20million and £40million for using the Olympic brand and the right to buy up to 5,000 tickets. Tier one sponsors, paying Locog between £40million and £80million, may buy up to 7,000 tickets. Overall, sponsors will take eight per cent of the 8.8million tickets, including some of the best seats .

The Standard has also learnt details of the deal in which the Mayor has agreed to Olympic naming rights in perpetuity for Mr Mittal's firm, amid concerns that City Hall has not obtained the best value for money with the deal for the tower to be called "ArcelorMittal Orbit" after the Games. It is claimed it has not matched similar deals, for example when energy firm EDF paid the London Eye owners £8million to have its name up in lights for three years.

Mr Mittal received lifetime naming rights after giving £10million towards the cost of the tower, plus a £9.6million loan. The Mayor will repay the loan as part of a profit share with the Olympic Park Legacy Company.

The tower will cost £22.3million, with the Mayor's contribution through the London Development Agency fixed at £3.1million. The legacy company will appoint an operator for the tower, which it predicts will rival the Eye as a visitor attraction after the Games.

ArcelorMittal will take up its ticket allocation, a spokeswoman confirmed. Business contacts and staff will be among the beneficiaries and some tickets may be donated to the public. The company has the right to attach a plaque with a surface area not larger than one square metre at the base of the Orbit and another of the same size on the upper storey viewing platform.

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