Torrent Group completes acquisition of majority stake in IPL franchise Gujarat Titans

The CVC in 2021 had bought the Gujarat franchise for Rs 5,625 crore and incidentally Torrent was one of the bidders.

Healthcare major Torrent Group on Monday announced that it has completed the acquisition of a 67% majority stake in the Indian Premier League (IPL) franchise Gujarat Titans (Irelia Sports India Private Limited) from Irelia Company Pte Ltd (Irelia), following the receipt of all necessary approvals, including from the Board of Control for Cricket in India (BCCI).

Earlier, on 12 February, Torrent and Irelia had announced the signing of definitive agreements for this transaction, subject to customary closing conditions and approvals. With the fulfillment of these conditions, the acquisition has now been successfully completed. As part of the transaction, Irelia, managed by funds advised by CVC, will continue to hold a substantial minority stake of 33%, maintaining its association with the franchise.

The CVC in 2021 had bought the Gujarat franchise for Rs 5,625 crore and incidentally Torrent was one of the bidders. The current valuation of GT is believed to be INR 7500 crore and as per IPL sources, Torrent has paid something to the tune of Rs 5025 crore to acquire two-third stake.

The deal is a win-win situation for both as CVC has not only retained one-third share but also got back 89 percent of the amount originally invested in buying the team.

Jinal Mehta, Director, Torrent Group, earlier said, "With the acquisition of a majority stake in the Gujarat Titans, we are excited to have the opportunity to elevate our fan experience and unlock new growth avenues in the years to come." Siddharth Patel, Managing Partner at CVC, commented:"We are excited to announce this deal, which marks the beginning of a new chapter in India's most popular sporting event and our team Gujarat Titans. "Our participation in Indian Cricket started strongly, securing the Gujarat franchise, winning the IPL title in our first season and emerging as runners up in our second season."

*With Agency Inputs