RCB owners speak out to BSE after potential sale whispers have been doing the rounds in the past few days.
Plans to sell RCB are only speculative in nature, say RCB owners Diageo to BSE.
The Indian Premier League (IPL) Royal Challengers Bengaluru (RCB) squad is owned by Diageo India, an Indian division of UK-based Diageo Plc. Diageo India has flatly denied rumours that it is planning to sell the team. The media rumours regarding Diageo India’s planned sale are speculative, according to a letter sent on Tuesday, June 10, to the Bombay Stock Exchange (BSE) and BSE Surveillance Department.
According to reports, shares of United Spirits, the company that owns RCB and is owned by Diageo, have increased in value since rumours of a sale of the company have arisen. Diageo is listed on the Bombay Stock Exchange.
“The company would like to clarify that the aforesaid media reports are speculative in nature and it is not pursuing any such discussion,” Mital Sanghvi, the company secretary, informed the regulating body of the Indian Stock Market. “This is for your information and records.”
Diageo is looking into ways to sell the RCB franchise, according to a Tuesday Bloomberg story. The report is set against the backdrop of RCB’s first IPL victory since the league’s founding in 2008 on June 3 and the tragedy that followed in Bengaluru, when 11 people lost their lives and numerous others were injured as the celebrations for the victory began on June 4.
Additionally, according to reports, the firm has been considering a USD 2 billion valuation for RCB, one of the league’s initial eight teams, which was established by Vijay Mallya in 2008. Nonetheless, there is conflicting feedback regarding the valuation, with the seasoned administrator mentioned above claiming that the figure is inflated.