Aditya Birla Group Acquires Royal Challengers Bengaluru for $1.78 Billion Ahead of IPL 2026
Major Ownership Change for RCB
In a significant development ahead of the Indian Premier League (IPL) 2026, the Royal Challengers Bengaluru (RCB) has officially undergone a change in ownership. A consortium led by the Aditya Birla Group finalized the acquisition of the Bengaluru franchise for an impressive $1.78 billion on March 24.
Following RCB's first IPL victory last year, United Spirits, the Indian subsidiary of Diageo, initiated the sale of the franchise by announcing a strategic review of its investment in Royal Challengers Sports Pvt Ltd, indicating a possible exit from the team.
Historical Context of RCB's Ownership
Originally, RCB was owned by Vijay Mallya through United Spirits, which had secured the franchise during the IPL's inaugural season in 2008. Ownership later transitioned to Diageo after it acquired United Spirits. Over the years, Royal Challengers Bengaluru has become one of the most valuable and popular franchises in IPL history, boasting a vast global fanbase and achieving its first title in 2025.
Details of the Ownership Transition
As RCB prepares to defend its title, the franchise has entered a new era of ownership after more than a decade under Diageo's management. The sale process commenced in November 2025 when United Spirits opted to review its stake in Royal Challengers Pvt Ltd.
After extensive negotiations and a competitive bidding process involving various global investors, the Aditya Birla Group consortium, which includes Blackstone, The Times of India Group, and Bolt Ventures, emerged victorious in securing ownership of RCB.
Bidding Dynamics and Strategy
The Aditya Birla Group was proactive in the bidding process, initially partnering with American investor David Blitzer. They later enhanced their bid by collaborating with the Times of India Group and Blackstone, forming a formidable consortium that outbid competitors.
The consortium faced stiff competition from a group led by Ranjan Pai, supported by Kolkata Knight Riders (KKR) and Temasek, as well as another consortium involving EQT and Premji Invest, making the bidding process highly competitive.
Acquisition Strategy and Financial Insights
Initially, the Aditya Birla Group and David Blitzer aimed to acquire Rajasthan Royals, which was ultimately sold to US entrepreneur Kal Somani for $1.63 billion. However, they redirected their focus to RCB, recognizing its greater commercial potential and brand value.
The consortium's strategy was bolstered by Aryaman Kumar Birla, a former Rajasthan Royals player and Director of ABG, who played a crucial role in shaping the acquisition approach for RCB.
Record-Breaking Franchise Sale
Diageo's United Spirits had anticipated a sale price of $2 billion for RCB, but the final agreement was reached at $1.78 billion (approximately INR 16,739 crore), marking it as the most expensive franchise transaction in IPL history. This sale follows the acquisition of Rajasthan Royals, highlighting the increasing valuations and investor interest in T20 league franchises.
The Aditya Birla Group consortium has acquired not only the men's team but also the women's team competing in the Women's Premier League, ensuring comprehensive ownership across both major tournaments.
New Leadership Structure
Under the new ownership, Aryanman Birla will assume the role of chairman, while Satyan Gajwani, chairman of Times Internet, will serve as vice chairman. Key partners in the consortium, including David Blitzer and Viral Patel, will play strategic roles in guiding the future of Royal Challengers Bengaluru.
Aryanman Vikram Birla's background in domestic cricket and IPL experience positions him as an ideal leader for the franchise, while Blitzer's global sports expertise and Viral's financial acumen will contribute significantly to RCB's future.
Upcoming Season Outlook
Royal Challengers Bengaluru is set to kick off its title defense against Sunrisers Hyderabad in the IPL 2026 opener at M Chinnaswamy Stadium in Bengaluru on March 28.