Cricket: RCB for sale after historic IPL 2025 win? Franchise owner Diageo breaks silence
by Devesh Jaganath | by Cydias Aujard
Report: RCB owners place $2b valuation on franchise
In 18 years of competition, the Indian Premier League has grown to become one of the richest and most valuable sports leagues in the world, ranking in the top five alongside the likes of the English Premier League, National Football League (NFL) and the National Basketball Association (NBA).
While the competition for fans and players is about pure passion and seeing the greatest players from across the globe compete in the shortest form of the game, behind the scenes, many franchise owners view it as a massive business opportunity.
In most instances, this is not a bad thing, as the mega-money that the IPL promises for players raises the stakes substantially, making it a thrilling event for onlookers, but it can also create problems behind the scenes, as we have seen with several franchises who have come and gone over the last two decades.
In 2025, one team that has competed under a single banner since the very first tournament, the Royal Challengers Bengaluru, rose to glory, winning their first-ever title by beating the Punjab Kings in the final and confirming our cricket prediction for the competition.
Unsurprisingly, the victory saw the commercial appeal of the franchise soar, and reports following the Royal Challengers' victory suggested that British spirits giant Diageo PLC were exploring the possibility of selling part or all of its stake in the franchise.
It is understood that Diageo had placed a $2b valuation on RCB and that the decision to sell off their shares was a strategic move after witnessing a decline in premium liquor sales. With RCB being a non-core part of the business, selling off shares would free up funds for Diageo to reinvest in its core business.
Further reports suggested the move had come due to the company facing mounting regulatory pressure from the Union Health Ministry to stop the advertising of alcohol during major sporting events like the IPL.
Diageo PLC responds to RCB sale claims
Shortly after the reports of the potential sale of RCB hit mainstream media, inquiries were believed to have been made by the Bombay Stock Exchange to Diageo about the validity of the claims.
However, Diageo secretary, Mital Sanghvi, swiftly poured cold water over the rumours, stating that the claims were unfounded and speculative, while emphasising that the company had absolutely no intention of selling RCB in the foreseeable future. He said:
"The company would like to clarify that the aforesaid media reports are speculative in nature, and it is not pursuing any such discussion. This is for your information and records.”
With the IPL only expected to continue to grow in the years to come, the fate of RCB (and most franchises in the competition) will be closely monitored by investors. While Diageo has made its point clear in this instance, the commercial appeal of the competition to the sports business world suggests that the sale of RCB is far from over.
