RCB put on the market: Diageo begins formal sale process, $2 billion valuation in focus

Information memorandums circulated, Citi appointed as advisor; celebrity investors and big bidders line up for one of IPL’s most valuable franchises.

The long-running speculation around the sale of Royal Challengers Bengaluru (RCB) has now turned into a formal transaction process. Diageo, the current owner of the IPL franchise through its Indian arm United Spirits, has initiated the sale by circulating Confidential Information Memorandums (CIMs) to potential buyers.

This development, reported by Sportico, the Journal of the Business of Sports, confirms that the strategic review announced last year has entered an active sale phase. Sources with direct knowledge of the matter indicate that Diageo has begun engaging interested parties, marking the clearest indication yet that RCB is officially on the market.

The CIM, often running between 30 and 150 pages, serves as the primary document for evaluating a business. It contains detailed financials, commercial performance, brand value, and growth projections, enabling bidders to submit initial non-binding offers. While the final bidding timeline may still evolve, the process is now firmly underway.

RCB’s valuation is estimated at close to $2 billion (over ₹1,800 crore), driven by the franchise’s IPL 2025 title win, massive fan base, and unmatched commercial strength. Central to this value is Virat Kohli, widely regarded as the most commercially powerful Indian sportsperson, whose association continues to anchor RCB’s brand identity.

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United Spirits has appointed Citigroup as the transaction advisor. The sale is expected to attract private equity firms, institutional investors, and high-net-worth individuals. The process is likely to conclude by the end of March, with Diageo keen to complete the transaction before the IPL 2026 season begins on March 26.

Interest around RCB has already spilled into the public domain. Serum Institute of India CEO Adar Poonawalla earlier stated on social media that he intended to place a strong and competitive bid, though it is unclear whether a formal offer has been made.

In addition, Bollywood actors Anushka Sharma and Ranbir Kapoor are understood to be part of consortium-level discussions. Sharma is reportedly exploring a 3% stake valued at around ₹400 crore, while Kapoor’s interest is said to be close to 2%, aligning with his existing experience as an investor in ISL club Mumbai City FC.

However, the deal also brings regulatory complexities. The BCCI’s 2007 rule bars active players from owning stakes in IPL teams. With Virat Kohli synonymous with RCB, direct ownership may not be possible for him. Reports suggest that if Anushka Sharma’s involvement materialises, legal and technical structures may be explored to address potential conflict-of-interest concerns.

As the sale process gathers pace, RCB’s transition from a Diageo-owned asset to a new ownership group is now firmly in motion.