In June 2025, Royal Challengers Bengaluru are making headlines for multiple reasons. First, RCB won their maiden Indian Premier League trophy in 18 years. Then the IPL 2025 winning franchise made headlines after the unfortunate stampede incident in Bengaluru following their victory parade. Now, as per a report in Bloomberg, the franchise owners Diageo Plc are considering selling their stakes in RCB, either a part of it or full. Diageo Plc owns stakes in Royal Challengers Bengaluru through its Indian subsidiary United Spirits Ltd. Bengaluru Stampede: RCB Announce INR 10 Lakh Each for Families of Deceased After Tragedy Hits IPL 2025 Victory Celebrations.
As per the report, Diageo Plc are in talks about selling their stakes in RCB with potential investors, as the franchise valuation might be as high as 2 billion USD. However, the talks are still in early stages, and no final decision has been made yet. Neither Diageo Plc nor United Spirits Ltd have given any official statement regarding the potential divestment. The sudden move is believed to have appeared as India's Union Health Ministry is planning on curbing indirect advertising/ promotion of alcohol or tobacco products in major sporting events, like the IPL. Watch Historic Moment As RCB Lift First Indian Premier League Title With Victory Over Punjab Kings in IPL 2025 Final (Video Inside).
In India, direct advertisements of alcohol and tobacco products are prohibited. So, brands (like Diageo/ United Spirits) do surrogate advertising with water and soda products. With such practices in danger, it is believed that Diageo Plc are planning on releasing their stakes. Following the news of the possible transaction, stocks of United Spirits have risen by 3.3%. Royal Challengers Bengaluru was primarily owned by former Liquor tycoon Vijay Mallya. But with him getting trapped in financial scandals, British spirits giant Diageo Plc had taken over the franchise.
(The above story first appeared on LatestLY on Jun 10, 2025 01:24 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).