MC EXCLUSIVE Race for Royal Challengers Bengaluru: Diageo sets mid-March deadline for submission of binding bids

Race for Royal Challengers Bengaluru: Diageo sets mid-March deadline for submission of binding bids

• Diageo sets mid-March deadline for RCB franchise binding bids
• Shortlisted bidders to finish due diligence by March 10
• RCB's valuation expected between $1.5 billion and $2 billion

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Diageo has set a mid-March deadline for the submission of binding bids as the big-bang sale process of Royal Challengers Sports Private Limited (RCSPL), a subsidiary of the global liquor giant’s Indian arm United Spirits, gears up for the final leg, multiple industry sources in the know told Moneycontrol.

RCSPL’s business comprises ownership of the popular Royal Challengers Bengaluru (RCB) franchise team, which participates in the men's Indian Premier League (IPL) and Women's Premier League (WPL) cricket tournaments hosted annually by the BCCI.

“Due diligence is currently being conducted by the shortlisted bidders for RCSPL and is set to conclude by March 10. This will be followed by submission of final, binding bids by the middle of next month,” said one of the persons cited above.

Two other persons confirmed the above timelines.

A fourth person added that details on consortium members if any could be shared while placing the binding bids.

All the four persons spoke to Moneycontrol on the condition of anonymity.

When contacted via an email, Diageo declined to comment on “market rumour or speculation.”

The submission of bids by suitors follows a strategic review of RCSPL (non-core to USL’s alcobev business), which was initiated in November and expected to conclude by March 31, 2026.

Race for RCB: Chronology so far

On February 16, Moneycontrol reported that around 9 to 10 parties had been shortlisted or selected for the next stage of the IPL franchise’s sale post non-binding proposals.

The February 16 report added that Serum Institute of India CEO Adar Poonawalla, Manipal Group Chairman Dr Ranjan Pai, Swedish private equity firm EQT and Manchester United co-owner Avram Glazer backed Lancer Capital LLC were among those who had moved on to the next round.

On February 5, Moneycontrol was the first to report that Dr Ranjan Pai, Adar Poonawalla, EQT and Premji Invest had submitted non-binding bids for RCSPL.

The report had added that private equity giant Blackstone was planning to submit a potential non-binding bid, but had not taken a final decision along with industry buzz about the possible interest and participation of QIA (Qatar Investment Authority) and Carlyle in the process. TPG was linked with a possible tie-up with Adar Poonawalla.

Earlier, on January 28, Moneycontrol was also the first to report that Manipal Group’s Dr Ranjan Pai had entered advanced discussions to form a consortium with US private equity major KKR, with Singapore’s Temasek also exploring participation as the third investor in the combine, if required. Investment bank Citi was running the sell-side process, the report added further.

“Though the sell-side ask for a 100% stake in RCSPL is around $2bn, a few prospective suitors are keen to value the target between $1.5 billion to $1.7 billion. Further clarity will emerge on valuations post due diligence, during the binding bid stage, “ the Moneycontrol report of January 28 had elaborated.

As per previous media reports, other suitors linked to the RCSPL sale process include NBFC Capri Global ( owner of WPL franchise UP Warriorz and ILT20 franchise Sharjah Warriorz), a combine led by The Times of India group executives and others ( a consortium led by Times Internet vice-chairman Satyan Gajwani and US tech leaders had acquired a 49% stake in the London Spirit cricket franchise in early 2025), a consortium led by Arizona-based tech entrepreneur Kal Somani and Sanjay Govil, the owner of cricket team Washington Freedom and co-owner of cricket team Welsh Fire.

Private equity firms have invested and exited IPL teams in the past. In February 2025, the Torrent Group acquired a 67% stake in Gujarat Titans from private equity firm CVC Capital Partners, valuing the team at around Rs 7,500 crore ($833 million) as per reports.

M&A action in IPL

Over and above RCB, there are parallel stake sale processes underway at other IPL teams as well.

On December 8, 2025, Moneycontrol had reported that a majority stake sale process was underway at Rajasthan Royals, the winner of the inaugural IPL, targeting a valuation of $1 billion-plus, with The Raine Group roped in as the sell-side advisor. The same suitors may evince interest in both Rajasthan Royals and RCB, the report highlighted.

British-Indian entrepreneur Manoj Badale's Emerging Media Ventures holds around 65% stake in Rajasthan Royals as per reports, with minority investors including American investment management firm RedBird Capital Partners (around 15% stake) and Fox Corporation's Lachlan Murdoch, among others.

Later on December 18, 2025, Moneycontrol was the first to report that a part stake sale was brewing at Kolkata Knight Riders, with the Mehta group planning to unlock value.

The KKR franchise is owned by Knight Riders Sports Private Ltd, which was set up in 2008 as a joint venture between Bollywood superstar Shah Rukh Khan's Red Chillies Entertainment and actress Juhi Chawla and industrialist Jay Mehta-backed Mehta Group.

As per the "IPL Valuation Study 2025" by Houlihan Lokey, the IPL business value has risen to $18.5 billion from $15.4 billion in 2023. On the other hand, the IPL brand value rose to $3.9 billion from $3.2 billiohn in 2023.

As per the study, RCB maintained the top position on the brand value chart ( $269 million), followed by Mumbai Indians ($242 million), Chennai Super Kings ($235 million) and Kolkata Knight Riders ($227 million).