Blackstone, Temasek vie for IPL's crown jewel RCB

Diageo, which owns RCB's parent United Spirits Ltd (USL), had begun the sale process of the IPL team in November. The private equity (PE) heavyweights are evaluating non-binding bids for the stake, the people cited above said on the condition of anonymity. Global buyout firms including Advent International, PAG and Carlyle Group are also evaluating bids for RCB, the people said.

A transaction could value RCB between $1.4 billion and $1.8 billion, the people said on the condition of anonymity. Until now, the bidding interest around IPL franchises was largely centred on domestic strategic investors and family offices, including the JSW Group, Serum Institute of India chairman Adar Poonawalla and Manipal Hospitals, according to media reports.

There is significant interest in RCB, which won its first IPL championship last year. On Thursday, Serum's Poonawalla posted on X, "Over the next few months, will be putting in a STRONG and COMPETITIVE bid for @RCBTweets, one of the best teams in the IPL."

An investment by Blackstone or Temasek would mark the biggest investment by a foreign PE firm in Indian sports. So far, the largest such investment is by European PE firm CVC Capital Partners, which acquired the rights to Gujarat Titans at $745 million in 2021, becoming the first PE firm to own an IPL team outright. CVC sold 67% in the franchise to the Torrent Group in February 2025 at a valuation of approximately $866 million.

In a parallel process, several investors have submitted initial bids for Raine Group’s stake in Rajasthan Royals, the people said on the condition of anonymity. Mint could not confirm the identity of these investors.

Spokespersons for RCB, Diageo, Advent, Temasek and Blackstone declined to comment. Rajasthan Royals, PAG and Carlyle did not respond to queries.

The shift toward global institutional capital comes as the IPL’s media rights structure provides the kind of predictable cash flow coveted by many investors. Under the current cycle through 2027, central revenue distributions are locked in via contracts, allowing funds to model returns with high precision.

United Spirits had established RCB under its original owner Vijay Mallya in 2008, at a time the IPL took shape. Diageo gained ownership of RCB after it took control of United Spirits in 2016, following the exit of Mallya.

IPL's overall business valuation rose nearly 13% annually to $18.5 billion in 2025, a July 2025 valuation study by Houlihan Lokey showed, cementing its place among the world’s most valuable sporting leagues. The IPL’s standalone brand value jumped 13.8% to $3.9 billion, buoyed by record viewership, rising ad revenues, and robust investor interest.

According to Houlihan Lokey, RCB dethroned Chennai Super Kings (CSK) in July last year to become the most valuable IPL brand, following their first IPL championship win in 18 years. According to the US investment bank, RCB’s brand value rose to $269 million in 225 from $227 million in 2024.

RCB posted a revenue from operations of ₹634.7 crore and net profit swinging to ₹221.8 crore in FY24, from a loss of ₹11.6 crore a year earlier.