Aditya Birla Group, TOI, Blackstone and Bolt Ventures' $1.78bn Acquisition of RCB
- May 25
- 7 min read
By Rasmus Sjögren, Alexander Henje, Haris Jasarevic, and Nikolas Kakona (Stockholm School of Economics); Gilles Michaud and Marc Bellon (HEC Paris).
Photo: Marcus Wallis (Unsplash)
Overview of the deal
Acquirer: Aditya Birla Group, The Times of India Group, Bolt Ventures, and Blackstone (BXPE)
Target: Royal Challengers Bengaluru (RCB) - men's IPL & women's WPL franchise
Implied Equity Value: ~$1.78 billion (₹166.6 billion)
Total Transaction Size: ~$1.78 billion (₹166.6 billion)
Closing Date: Post-IPL 2026 (expected H2 2026, subject to regulatory approval)
Target Advisor: Citi India (financial), AZB Partners (legal)
Acquirer Advisor: A&W Capital and Moelis (financial), Khaitan & Co (legal)
On March 24, 2026, the consortium signed a definitive agreement to acquire 100% of Royal Challengers Bengaluru, encompassing both the men's and women’s Indian Premier League franchise, from United Spirits Limited, a subsidiary of Diageo plc. The transaction values the franchise at approximately $1.78 billion and remains subject to customary closing conditions, including approval from the Board of Control for Cricket in India, the Competition Commission of India, and other applicable regulatory authorities.
Under the new ownership structure, which will come into place after IPL 2026, Aryaman Vikram Birla will serve as RCB Chairman while Satyan Gajwani of The Times of India Group will be Vice Chairman. On the sell side, Praveen Someshwar, Managing Director and CEO of USL, noted that the transaction allows the company to sharpen focus on its core beverage alcohol business, describing RCB as having grown into the most prominent and commercially successful franchise in the IPL and WPL.
The transaction is principally driven by Diageo's strategic retreat from non-core assets. USL's CEO described the sale as allowing the company to sharpen its focus on its core beverage alcohol business - a reorientation that has been underway across Diageo's global portfolio as the group faces margin pressure and a sluggish premium spirits market. Besides, the consortium wants to exploit the structural gap between RCB's current revenue base and the monetisation ceiling of a franchise with one of the largest fanbases in world cricket. At approximately $60 million in annual revenue, RCB remains heavily dependent on centralised IPL broadcast distributions, leaving direct revenue streams - digital content, merchandising, hospitality, and international licensing - largely underdeveloped relative to comparable franchises in the NFL or Premier League.
The deal implies a strategy centred on closing that gap through the pooled capabilities of the four consortium members: Aditya Birla's scale and consumer reach across India, the Times Group's cricket media infrastructure through Cricbuzz and Willow TV, Blitzer's experience across major sports franchises in North America and Europe, and Blackstone's financial firepower to underwrite the long investment horizon these revenue streams require. Private ownership further removes the short-term reporting constraints that limited Diageo's ability to invest aggressively in franchise development, while the dual IPL and WPL championship status suggests an addressable commercial opportunity that extends well beyond the men's game - an avenue the consortium appears positioned to develop, though no explicit strategy has been disclosed by the parties.
Company Details (Acquirer - Aditya Birla Group)
Aditya Birla Group is an Indian multinational conglomerate with operations spanning over 40 countries and a combined annual revenue of ~$70 billion and a consolidated market cap of over $112 billion (as of July 2025). In the context of the RCB acquisition, the group contributes its global business scale and deep consumer reach in India, with Aryaman Vikram Birla serving as the incoming Chairman of the franchise.
Founded: 1857 (as a cotton trading firm)
Headquartered: Mumbai, Maharashtra, India
CEO: Kumar Mangalam Birla
Number of employees: ~227,500
Market Cap: >$112 billion (as of 01/07/2025, combined listed entities)
EV: N/A (private conglomerate holding company)
LTM Revenue: ~$70 billion (FY2025, group-wide consolidated)
LTM EBITDA: N/A
LTM EV/Revenue: N/A
LTM EV/EBITDA: N/A
Company Details (Acquirer - The Times of India Group / Bennett, Coleman and Co. Ltd.)
Bennett, Coleman and Co. Ltd. (BCCL), known as The Times Group, is an Indian media conglomerate headquartered in Mumbai, operating notable properties including India's largest-selling English-language daily newspaper The Times of India, television channels such as Times Now, the Radio Mirchi network, and magazines Filmfare and Femina. Through Cricbuzz - the world's leading cricket platform - Willow TV (North America's home of cricket), and ownership stakes in Major League Cricket (USA) and the London Spirit (The Hundred, UK), the Times Group brings extensive capabilities in cricket media, sports IP, fan engagement, and international expansion.
In the context of the RCB acquisition, Satyan Gajwani, Chairman of Times Internet Limited, will serve as Vice Chairman of the franchise.
Founded: 1838
Headquartered: Mumbai, Maharashtra, India
Chairman: Vineet Jain / Samir Jain (split into separate entities in 2023)
Number of employees: ~4,300
Market Cap: N/A (privately held)
EV: N/A LTM
LTM Revenue: N/A
LTM EBITDA: N/A
LTM EV/Revenue: N/A
LTM EV/EBITDA: N/A
Company Details (Acquirer - Blackstone / BXPE)
BXPE (Blackstone Private Equity Strategies) is Blackstone's perpetual private equity vehicle targeting individual investors, and is the entity through which the RCB acquisition is made.
Founded: 1985
Headquartered: New York, USA
CEO: Viral Patel (CEO, BXPE)
Net Asset Value: $13.9 billion (as of March 2026)
EV: N/A
LTM Revenue: N/A
LTM EBITDA: N/A LTM
LTM EV/Revenue: N/A LTM
LTM EV/EBITDA: N/A
Recent Transactions:
• February 2026: Acquisition of Champions Group, a premier provider of essential home services in the US, from Odyssey Investment Partners
Company Details (Acquirer - Bolt Ventures)
Bolt Ventures is the private investment and family office of David Blitzer, co-founder of Harris Blitzer Sports & Entertainment. Bolt Ventures prioritises investments in sports, media, and entertainment, working closely with management teams to create long-term value. Blitzer’s portfolio includes Crystal Palace in the English Premier League, the Philadelphia 76ers, the New Jersey Devils, the Washington Commanders, and the Cleveland Guardians.
Founded: 2018 (as Bolt Ventures family office)
Headquartered: New York, USA
CEO: David Blitzer
Number of employees: N/A (private family office)
Market Cap: N/A (private)
EV: N/A LTM
LTM Revenue: N/A
LTM EBITDA: N/A
LTM EV/Revenue: N/A
LTM EV/EBITDA: N/A
Recent Transactions:
• April 2026: Acquisition of the Hurricane Junior Golf Tour (HJGT), the largest multi-day junior golf tour in the United States
Company Details (Target - Royal Challengers Bengaluru, RCB)
Royal Challengers Bengaluru is an Indian cricket franchise competing in the Indian Premier League (IPL) and Women’s Premier League (WPL). The franchise operates through its fully owned subsidiary, Royal Challengers Sports Private Limited (RCSPL).
Founded: 2008
Headquartered: Bengaluru, India
CEO: Menon, Rajesh
Number of employees: N/A
Market Cap: N/A (privately held company)
EV: $1.78 billion (transaction value)
LTM Revenue: $61 million
LTM EBITDA: N/A
LTM EV/Revenue: 29.2x
LTM EV/EBITDA: N/A
Projections and Assumptions
Short-Term Consequences
The transaction delivers a significant financial outcome for United Spirits Limited (USL), the Indian subsidiary of Diageo, which originally acquired the franchise in 2008 for $111.6 million. At a sale price of $1.78 billion, USL realizes a return of approximately 16 times its initial investment over 18 years — a testament to the extraordinary value appreciation of IPL franchises. For Diageo, the divestiture is consistent with the strategic review initiated in November 2025, during which USL's CEO described the franchise as "non-core" to the group's beverage alcohol business. As a result, the sale allows Diageo to redeploy capital toward higher-conviction growth opportunities within its spirits portfolio.
For the acquiring consortium, the deal provides immediate ownership of the reigning IPL and WPL champion at a time when the franchise's brand equity is at its peak. RCB's brand value surged to $269 million following its maiden IPL title in 2025, making it the most valuable franchise in the league. The franchise enters the 2026 season as defending champion, offering the new owners maximum commercial visibility from the outset. In addition, the transition of leadership to Aryaman Vikram Birla as Chairman and Satyan Gajwani as Vice-Chairman signals a clear shift from passive corporate stewardship under Diageo to a more hands-on, sports-focused ownership model.
Nevertheless, the deal remains subject to several customary approvals in the near term, including clearance from the BCCI and the Competition Commission of India — introducing a degree of execution risk until the transaction formally closes, which is expected after the conclusion of IPL 2026.
Long-Term Upsides
The acquisition of RCB provides the consortium with exposure to one of the fastest-growing sports ecosystems globally. The IPL has recently seen a large increase in media rights valuations, with broadcast deals exceeding $6 billion and with a centralised revenue-sharing model that provides franchises with relatively stable but also scalable cash flows. Within this context, RCB represents a premium asset, benefitting both from on-field success and one of the largest and most engaged fanbases in the global cricket scene.
The consortium composition further strengthens the long term investment case. Aditya Birla Group Aditya Birla Group’s consumer and brand-building capabilities, combined with Times of India Group’s media ecosystem and Bolt Ventures’ experience in global sports ownership, create a platform for multi-channel monetisation. This could enable RCB to expand beyond matchday revenues into digital content, sponsorship integrations and internal fan management, reflecting a broader shift of sports franchises into media-driven assets.
Additionally, the deal reflects a trend of increasing institutionalization of sports as an asset class. IPL franchises have experienced substantial valuation growth since inception, driven by scarcity, rising global interest, and predictable revenue streams. As more private capital enters the space, premium franchises such as RCB may benefit from continued multiple expansion.
Risks and Uncertainties
Despite strong structural tailwinds, the transaction raises concerns about valuation and execution risk. At ~$1.78bn, the deal sets a new benchmark for IPL franchise pricing, implying that a significant portion of future growth is already priced in. This leaves limited room for underperformance, especially regarding stabilisation of revenue growth in media rights or sponsorship.
There are also emerging indicators that the IPL’s growth may moderate. While the expansion in recent years has been significant, expectations of stabilizing central revenues, due to declining per-match values and reduced bidding competition, and constraints on further league expansion could limit upside going forward. This effectively introduces uncertainty around the sustainability of current valuation multiples.
Regulatory risk is another key consideration. Completion of the acquisition is still subject to approval from the BCCI and competition authorities. Future changes to governance structures or revenue-sharing mechanisms could materially impact returns.
Finally, operational and structural risks remain relevant for this deal. Franchise performance is partially dependent on on-field success and star player appeal, and the multi-party consortium structure may introduce strategic alignment and decision-making challenges. In combination with shifting media consumption trends and reliance on sponsorship markets, these factors create a less predictable path to long-term value realization.
“RCB's championship-winning culture, its deep connection to Bengaluru, and one of the most passionate fanbases in world sport make this an extraordinary opportunity. We are committed to taking RCB to new heights, on the pitch and beyond." — The Acquiring Consortium