Billionaire Adar Poonawalla, the chief executive officer of Serum Institute of India, is in discussions to acquire the Royal Challengers Bengaluru (RCB) franchise, sources told NDTV Profit. The negotiations are reportedly ongoing, with multiple bidders expressing interest. The Bengaluru-based IPL team is seeking a one-time payment for the franchise, according to the sources.
Poonawalla’s Interest Aligns with Diversification Plans
It should be noted that Poonawalla’s interest in RCB aligns with his diversification plans. RCB is currently owned by United Spirits Limited, a Diageo Group company. In June, Diageo Plc. was exploring options for the ownership of RCB. The British distiller had reportedly held discussions with potential advisers and was seeking a valuation of as much as $2 billion, according to Bloomberg. United Spirits said in an exchange filing in June that reports related to a potential stake sale are “speculative in nature” and “it is not pursuing any such discussions.”
Speculations Fueled by Lalit Modi
Former IPL Chairman Lalit Modi on Monday added fuel to the speculations after posting about the potential sale on Instagram. He wrote, “There have been a lot of rumour about the sale of an IPLT 20 franchise, specifically Royal Challengers Bengaluru – well in the past they have been denied. But it seems the owners have finally decided to take it off their balance sheet and sell it.”
Modi wished good luck to the bidders and highlighted the investment potential, saying, “Good luck to whoever can get their hands on it. It definitely will set a new record valuation which will just go to show that IPL is not only the fastest-growing global sporting league but also the most valuable.”