Diageo has quietly put Royal Challengers Bengaluru (RCB) under the microscope, opening a “strategic review” that could end with the IPL and WPL sides changing hands.
In a notice sent to the Securities and Exchange Board of India (SEBI) on Wednesday, the drinks giant confirmed it is examining its investment in RCB through Royal Challengers Sports Private Limited (RCSPL), the company that holds both the men’s and women’s teams. The review, Diageo says, should be wrapped up by 31 March 2026 – the close of India’s financial year. RCSPL is a wholly-owned subsidiary of United Spirits Ltd (USL); USL, in turn, is majority-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,” explained Praveen Someshwar, USL’s managing director and chief executive, in the 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.”
Why now? Diageo’s core spirits business has felt the pinch worldwide and the company is looking for ways to shore up balance sheets. Only in June it denied any plans to sell RCB, with company secretary Mital Sanghvi describing speculation as “speculative”. With global headwinds stiffening, that position has clearly softened.
Talk of a sale grew louder after the fatal crush outside Bengaluru’s M Chinnaswamy Stadium in June, 24 hours after RCB finally lifted their first IPL trophy. Although the tragedy is not mentioned in Diageo’s paperwork, insiders admit the incident intensified public scrutiny of the franchise.
RCB remain one of the league’s headline sides. Back in 2007 the late-night bid by then-USL chair Vijay Mallya – USD 111.6 million – made them the IPL’s second-costliest purchase. Mallya resigned in 2016, leaving Diageo in full control.
For the playing group little changes, at least in the short term. Both the WPL and IPL auctions will proceed as planned and any new owner would still need formal clearance from the league. Realistically, the process is likely to nudge beyond the 2026 season.
Attempts have been made to contact RCB vice-president Rajesh Menon for comment; no response so far.
Fans, meanwhile, will be hoping the only turbulence they notice is confined to the drinks trolley.
