RPSG Ventures Shares Soar 20% In Intraday On BSE After RCB Sale

RPSG Ventures Limited shares jumped as much as 20% to ₹721 on intraday trading on the Bombay Stock Exchange (BSE) on Wednesday. It came after United Spirits Limited announced the sale of its Indian Premier League (IPL) franchise Royal Challengers Bengaluru (RCB) for over ₹16,600 crore. The consortium acquiring RCB includes:

• Aditya Birla Group

• The Times of India Group

• Bolt Ventures, led by David Blitzer

• Blackstone fund

The transaction is subject to approvals from the Board of Control for Cricket in India (BCCI), the IPL Governing Council and other regulatory authorities. The BCCI will receive 5% of the deal value as a transfer fee.

New Benchmark For IPL Franchise Valuations

At 2:13 pm, RPSG Ventures Limited shares were trading at ₹710.55 a piece on the BSE, up by 17.12%. The sharp move follows the deal being viewed as a fresh benchmark for IPL franchise valuations, as per brokerages.

The valuation is more than double the $900 million tag for Gujarat Titans and above the $1.6 billion valuation seen for Rajasthan Royals in recent transactions.

Sharp Re-rating Of IPL Assets

According to analysts, the deal reflects a sharp re-rating of IPL assets over time. Franchise valuations have risen nearly 25 times since IPL’s inception in 2008. Growth has also been driven by global investor interest with private equity funds and US-based sports investors being active participants.

Analysts also feel the deal could lead to further upside for listed franchise owners such as Sun TV, which owns Sunrisers Hyderabad. Note that RPSG Ventures remains in focus due to its stake in Lucknow Super Giants, where the company holds 51% stake. It is valued at nearly 250% of its own market capitalisation, even after applying a holding-company discount.

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RCB’s Financial Performance

Financials of the RCB franchise indicate strong operating performance. As per United Spirits’ annual report, RCB recorded a revenue of ₹504 crore and an earnings before interest, taxes, depreciation, and amortisation (EBITDA) of ₹186 crore for FY25.

The franchise has already nearly matched those figures in the first half of FY26, reporting revenue of ₹478 crore and EBITDA of ₹225 crore, surpassing its full-year FY25 EBITDA.

Sources:

The Economic Times

CNBC TV 18