RCB up for sale, Diageo launches 'strategic review' ahead of IPL 2026

RCB up for sale

Royal Challengers Bengaluru (RCB), which is owned by Diageo, have informed that a "strategic review" of its investment in the franchise through Royal Challengers Sports Private Limited (RCSPL) will be conducted to divesting its stake in the franchise. RCSPL is the parent company that owns both Royal Challengers Bengaluru, men and women, side.

The review is expected to be completed by March 31 next year.

RCSPL is a fully owned subsidiary of United Spirits Ltd, which is owned by Diageo.

"RCSPL has been a valuable and strategic asset for USL; however, it is non-core to our alcobev (alcohol and beverages) business," said Praveen Someshwar, Managing Director and CEO of United Spirits, in the SEBI filing. "This step reinforces USL and Diageo's commitment to reviewing our India portfolio to ensure sustained long-term value for stakeholders, while keeping RCSPL's best interests in mind," he added.

The development comes amid Diageo's struggles in its core, global business of drinks, which has faced significant pressure over the years. However, in a SEBI filing dated June this year, the company had denied reports of RCB's sale, with USL's company secretary Mital Sanghvi calling it "speculative".

Speculations about a possible divestment have intensified since the stampede outside the M Chinnaswamy Stadium in Bengaluru, the franchise's home arena, during the victory celebrations just a day after the team won the title in June.

RCB is among the most popular IPL franchises, primarily due to its marquee player and Indian legend, Virat Kohli, and foreign stars like Chris Gayle, AB de Villiers, Glenn Maxwell, and Faf Du Plessis, who have played for the franchise over the years. The franchise has had two outstanding years in the past, winning the WPL title in 2024 and securing the IPL title this year, defeating the Punjab Kings (PBKS) in the final.

When the tournament was launched in 2008, RCB was the second-most expensive franchise. Vijay Mallya, the then chairman of United Spirits, brought the franchise for 111.6 million US Dollars way back in 2007. He stepped down as the director of RCSPL in 2016, with Diageo becoming the whole owner of the company.

Meanwhile, the fresh development is unlikely to have any major impact on the franchise's planning for upcoming seasons in both the IPL and WPL. In case there is a new owner, they will need to get a clearance from the IPL, and the process could go way beyond the next year's season. While WPL is likely to take place in January, IPL will start in March and run through May.

- with ANI inputs