RCB Sale Update: Pai-KKR and EQT-Premji Invest in Race, Adar Poonawalla Opts Out

The era of Diageo’s ownership of Royal Challengers Bengaluru (RCB) is nearing its conclusion as the high-profile sale of the franchise enters its final stretch. Following a strategic review initiated in November 2025, United Spirits Limited (USL) set a deadline of 17:00 IST on Monday, 16 March 2026, for binding bids. M Chinnaswamy Stadium to Host IPL 2026 Matches As KSCA Gets Govt Approval.

The sale encompasses both the men’s IPL team and the women’s WPL team, with industry analysts estimating the final deal could surpass $2.1 billion (approx. ₹17,500 crore). This would establish RCB as one of the most valuable sports properties in the world, comparable to European football giants like Juventus and Borussia Dortmund.

The Frontrunners: Global Capital vs Indian Industrialists

The bidding process has drawn a mix of international private equity and domestic heavyweights. As of the March 16 deadline, two major consortiums have emerged as the primary contenders:

• The Swedish-Indian Combine: Swedish private equity powerhouse EQT Group has reportedly submitted a bid in the region of $2.1 billion. They are joined by Premji Invest, the investment office of Wipro founder Azim Premji.

• The Healthcare-PE Alliance: A second strong bid has come from Dr Ranjan Pai (Chairman of Manipal Group) in partnership with US private equity giant KKR and Singapore’s sovereign fund Temasek.

Notably, Adar Poonawalla of the Serum Institute of India, who had been a vocal suitor throughout the initial stages, reportedly opted not to submit a binding bid at the final hour. Uncertainty also remains regarding whether Avram Glazer’s Lancer Capital formalised their interest before the deadline.

Key Drivers of the $2 Billion Valuation

Several factors have contributed to the meteoric rise in RCB's price tag since its initial purchase for $111.6 million in 2008:

1. Championship Success: The men's team finally broke their trophy drought by winning the IPL 2025 title, while the women's team secured their second WPL title earlier this month.

2. The 'Kohli Premium': Despite his transition into the later stages of his career, Virat Kohli remains the league's biggest commercial draw, adding an estimated 10-15% to the franchise's brand value. Did Virat Kohli Post Instagram Story on Pakistan Cricketer Sarafraz Ahmed's Retirement? Here's the Fact Check.

3. Revenue Stability: The current $6.2 billion IPL media rights cycle provides a guaranteed income floor that appeals to risk-averse institutional investors.

Comparison of Top Bids (Reported)

Timeline to Final Completion

United Spirits Limited has indicated a desire to conclude the entire transaction by 31 March 2026. This aggressive timeline aims to ensure a smooth transition of power before the IPL 2026 season begins on 26 March.

While the new owners will likely take over administrative control immediately, the team’s core branding and existing commercial deals, including the newly signed front-of-shirt partnership with electronics brand Nothing, are expected to remain in place for the upcoming campaign.

Strategic Shift for Diageo

The sale marks a pivot for Diageo and USL, who have categorised the sports franchise as a "non-core asset" to their primary alcoholic-beverage business. While the team has been highly profitable, the company cited a desire to refocus on its premium spirits portfolio. Industry insiders also suggest that the tragic stampede during the 2025 victory celebrations accelerated the decision to exit the sports sector to avoid further reputational risk.

(The above story first appeared on LatestLY on Mar 17, 2026 11:52 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).