RCB's valuation increases by a staggering 1495 percent in 18 years
Vijay Mallya's initial purchase of Royal Challengers Bengaluru for $111. 6 million was driven by brand promotion, not cricket passion. Now, after an 18-year journey under Diageo's ownership and a name change to Royal Challengers Bengaluru, the franchise has been sold for a staggering $1.
78 billion, marking a colossal 1495% value increase.
Royal Challengers Bengaluru was the second-most-expensive franchise when the BCCI sold the original eight teams in the IPL. Vijay Mallya bought the Bengaluru franchise for $111. 6 million (Rs 446.
40 crore; $1 = Rs 40 then) in 2008, just behind the $111. 90 million that Reliance Industries paid for the Mumbai Indians. "My sole purpose behind buying RCB was to promote my whisky brand, Royal Challenge; there wasn’t any cricket love behind it," Mallya said recently during a podcast about his decision to buy RCB.
Structurally speaking, the team was owned by United Spirits/United Spirits subsidiaries (often described as Royal Challengers Sports/United Spirits Sports, etc. ), with Mallya’s UB Group as the promoter of United Spirits. In 2012–13, the Diageo Group agreed to acquire control of United Spirits Limited (USL).