Rajasthan Royals just sold for $1.65 billion. The buyers are steel magnate Lakshmi Mittal's family and vaccine billionaire Adar Poonawalla. This is one of the largest transactions in IPL history.

What the Deal Actually Looks Like

The Mittal family will hold a dominant 75% stake in the franchise. Adar Poonawalla comes in with roughly 18%, while existing investors including Manoj Badale retain around 7%. The total enterprise value stands at $1.65 billion, which is approximately Rs 15,660 crore.

The deal covers more than just the IPL side. It includes Paarl Royals in South Africa and Barbados Royals in the Caribbean. Closure is expected by Q3 2026, subject to approvals from the BCCI, the Competition Commission of India, and the IPL Governing Council. The new board will include Lakshmi N. Mittal, Aditya Mittal, Vanisha Mittal-Bhatia, Adar Poonawalla, and Badale.

Key insight: At $1.65 billion, this deal values Rajasthan Royals higher than many listed mid-cap companies in India. It signals that IPL franchises are now serious financial assets, not just sports properties.

Why These Buyers and Why Now

Lakshmi Mittal was born in Sadulpur in northern Rajasthan. His connection to the state makes this acquisition personal. He said it clearly: there is no IPL team he would rather own. His son Aditya has pointed to RR's reputation for developing young talent as a key reason the franchise resonates with him.

Adar Poonawalla had previously bid for Royal Challengers Bengaluru. His entry here as a minority partner alongside the Mittals shows continued appetite among India's top business families for cricket investments. The previous bidder, a US-based consortium led by Kal Somani, Rob Walton, and Sheila Ford Hamp, had offered $1.63 billion but failed to clear due diligence. Manoj Badale, the outgoing principal owner, stays on the board as a bridge between old and new ownership.

  • Mittal family stake: 75% (controlling ownership)
  • Adar Poonawalla stake: ~18%
  • Existing investors including Badale: ~7%
  • Previous bid by Somani consortium: $1.63 billion (failed due diligence)
  • Deal includes: RR IPL team, Paarl Royals, Barbados Royals

What This Means for IPL as a Business

IPL franchise values have grown at a pace that few asset classes can match. A $1.65 billion valuation for a single franchise, with global cricket team extensions, tells you how far the league has come as a commercial product. Rajasthan Royals currently sits fourth in the IPL 2025 standings, which adds to its near-term appeal.

Ultra-high-net-worth individuals and business families are increasingly treating IPL franchises like long-term portfolio assets. The Mittal-Poonawalla deal follows a broader trend of Indian industrialists moving into sports ownership. Cricket, with its massive domestic viewership and growing international footprint, is becoming a preferred alternative investment for family offices and business conglomerates.

Key insight: For market watchers, IPL franchise deals are worth tracking the same way you would track a large PE transaction. The valuation multiples, ownership structures, and regulatory timelines all mirror serious capital market activity.

This deal is a strong signal that Indian business capital is flowing into sports at scale. Investors and analysts should watch how franchise valuations evolve as IPL's global media rights expand. The next few years could see even larger transactions in this space.

FAQs

Who bought Rajasthan Royals and for how much?
The Mittal family, led by steel billionaire Lakshmi Mittal, and vaccine maker Adar Poonawalla have jointly acquired Rajasthan Royals for $1.65 billion (around Rs 15,660 crore). The Mittal family holds 75% while Poonawalla holds about 18% of the franchise.

What all does the Rajasthan Royals deal include?
The deal is not just for the IPL team. It also covers Paarl Royals in South Africa and Barbados Royals in the Caribbean, making it a multi-franchise acquisition across global cricket leagues.

How does this deal affect the way investors look at IPL franchises?
A $1.65 billion valuation puts IPL franchises in the same league as large listed companies in India. It signals that cricket teams are now being treated as serious long-term financial assets, similar to private equity investments.

Why did the earlier US-based consortium lose out on the deal?
The consortium led by Kal Somani had offered $1.63 billion but could not clear the due diligence process due to multiple issues. This opened the door for the Mittal and Poonawalla partnership to step in with a higher bid and stronger credentials.

When will the Rajasthan Royals ownership change officially come into effect?
The deal is expected to close by the third quarter of 2026. It still needs approvals from the BCCI, the Competition Commission of India, and the IPL Governing Council before it becomes official.

Is buying an IPL franchise a good investment strategy for business families?
IPL franchises have grown in value far faster than most traditional asset classes over the past decade. With expanding global media rights and rising viewership, they are increasingly being seen as strong long-term portfolio assets for family offices and large conglomerates.