There’s some shocking news for fans of IPL’s hit team, Royal Challengers Bangalore (RCB).
United Spirits Limited (USL), a subsidiary of British company Diageo, has initiated plans to sell its entire stake.
RCB Up for $2 Billion Sale
Reports suggest the deal could be worth $2 billion, or approximately ₹17,000 crore. This could become the IPL’s most expensive deal to date.
Not only this, Serum Institute CEO Adar Poonawalla is leading the race. According to a CNBC TV18 report, Diageo has hired global bank Citi to manage the sale.
Adar Poonawalla remains a strong contender to acquire the entire stake. This news comes just after RCB’s IPL 2025 win, when they won the trophy for the first time.
However, a stampede in Bengaluru on June 4th during the victory celebrations claimed the lives of 11 people, prompting the owners to make this decision.
Who could be RCB’s new owner, Adar Poonawalla?
Adar Poonawalla’s name is the most discussed. He is one of India’s richest businessmen, and buying RCB could further strengthen his portfolio.
Reports suggest that buyers want a full stake, not a partial one. However, the $2 billion price tag and one-time payment clause have made some buyers reconsider.
Diageo India MD and CEO Pravin Someshwar told CNBC-TV18 earlier this month,
“RCB is an exciting business, but it is non-core for Diageo.”
This means that this business is not their main focus. Stricter regulations on sports advertising for liquor companies have also made this investment less attractive.
RCB’s journey began with Vijay Mallya in 2008, when he purchased it for $111 million. Diageo later acquired it.
New record valuation, global funds eyeing it
The IPL 2025 win sent RCB’s value skyrocketing. It enjoys a strong fan base thanks to stars like Virat Kohli. Lalit Modi, former IPL chairman, fueled the rumors with a post on X.
He wrote, “IPL franchise sale rumors have been floating around. They have been denied earlier too. But it looks like the owners have finally decided to take it off their balance sheet and sell it. With winning the IPL last season and its strong fan base and great management, it could be the only team available for the entire team.
One of the big global funds or sovereign funds would desperately like to have them as part of their India strategy. This will definitely set a new record valuation and become the floor price for all IPL teams. I am sure Citi will do a great job auctioning the team.”
Recently, Torrent Group purchased a 67% stake in Gujarat Titans for ₹7,500 crore, which is just 42% of RCB’s valuation. This deal will set a new benchmark for IPL franchises.
