Kal Somani Acquires Rajasthan Royals for USD 1.63 Billion

In a landmark deal that underscores the soaring value of IPL franchises, a consortium led by Kal Somani has acquired Rajasthan Royals for a staggering USD 1.63 billion (approximately INR 16,290 crore) , taking full 100% ownership of the Jaipur-based franchise. The Times Group finished a close second in the bidding race.

Somani, an existing shareholder in the Royals, will head a consortium that includes Walmart. The transaction is expected to be finalized after the 2026 season, with Somani taking over from UK-based Manoj Badale of Emerging Media.

Industry experts have described the valuation as a validation of the IPL’s growing commercial power. “RR deal validates higher franchise valuations,” said Karan Turani of Elara Capital. “The acquisition reinforces our view that IPL franchises are now valued in the $1.5-2.0bn range, supported by strong media monetisation and rising global investor interest.”

The BCCI is yet to be formally notified of the transaction, but as per the IPL franchise agreement, the board is entitled to 5% of the transaction amount, approximately INR 765 crore.

Rajasthan Royals were the lowest-priced franchise among the original eight when the IPL was launched in 2008, valued at just USD 67 million and bought by a consortium led by Badale. Under Shane Warne’s captaincy, they stunned the cricketing world by winning the inaugural season.

Over the years, the franchise has seen several ownership shifts. In 2009, Raj Kundra bought a 13% stake, valuing the team at roughly USD 120 million, though he was later forced to exit in 2015. In 2021, the Royals sold a 15% stake to RedBird Capital Partners for approximately INR 550-600 crore, introducing a drag-along clause that paved the way for the current sale.

Who is Kal Somani?

A Scottsdale, Arizona-based entrepreneur in his 50s, Somani has diverse business interests spanning academics, golf, and sport. He is a founder of Motor City Golf Club, which has ties to golfing legend Tiger Woods. His son, Arjun Somani, is a promising talent on the US junior golf circuit.

Read Also: Aditya Birla Group, Times of India-Led Consortium Acquire RCB for Record USD 1.78 Billion

                                               

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