A new ownership era is set to begin in the IPL. According to reports, a consortium led by US-based entrepreneur Kal Somani has agreed to acquire complete control of the Rajasthan Royals franchise in a deal valued at US$ 1.63 billion.
The transaction, which values the team at approximately INR 15,322 crore, will come into effect after the conclusion of the IPL 2026 season, marking a transition away from the current ownership led by Manoj Badale.
Full ownership shift follows competitive bidding process
The acquisition involves a 100 percent buyout of the Jaipur-based franchise, with Somani leading a group of investors that includes prominent US-based capital linked to the Walmart and Ford family ecosystems.
The sale process, which began months earlier, drew interest from several high-profile bidders, including Indian conglomerates and international sports investors. Ultimately, the Somani-led consortium emerged as the successful party in a closely contested race.
A well-placed source told PTI, “Kal is an existing investor in the franchise. The deal is subject to approval from the BCCI and will be signed soon.”
As part of the transaction structure, the Board of Control for Cricket in India is set to receive a five percent fee, amounting to approximately INR 765 crore (approx. US$ 81 million).
Rising valuations underline IPL’s investment appeal
The Rajasthan Royals deal highlights the rapid escalation in franchise valuations across the IPL ecosystem, with the current transaction significantly outpacing earlier benchmark sales.
A source told PTI, “If you look at the sale of the latest IPL entrants Lucknow Super Giants, it is way more than that. It just shows remarkable growth of the league,” drawing a comparison to past franchise transactions.
The same source told PTI, “I expect the deal to be announced in the next four to five days,” pointing to the expected timeline around final confirmation at the time of agreement.
From an industry standpoint, the deal signals a clear recalibration in how IPL assets are priced, with valuations now clustering at a higher tier driven by media rights expansion and sustained global investor interest.
Somani strengthens position after earlier investment
Somani’s move to full ownership builds on his earlier entry into the franchise in 2021, when he acquired a minority stake as part of a broader investment round involving RedBird Capital Partners.
At the time, he had said, “We see huge potential with this investment, and we are excited for the future of the IPL”, signalling long-term conviction in both the league and the franchise.
That earlier deal also introduced structural provisions such as a drag-along clause, which ultimately facilitated a complete exit pathway for existing shareholders in the current transaction.
With this acquisition, stakeholders including RedBird Capital Partners and Lachlan Murdoch are expected to exit, consolidating control under the new ownership group.
Kal Somani’s background in technology and sport
Based in Scottsdale, Arizona, Kal Somani is a serial entrepreneur with over 15 years of experience across sectors including ed-tech, artificial intelligence, data privacy, and sports technology.
He has founded companies such as IntraEdge and Truyo, while also contributing to initiatives in AI governance. His involvement in sport extends beyond cricket, with investments in emerging formats and co-ownership of the Motor City Golf Club.
Somani has also backed ventures connected to technology-driven sports innovation, reflecting a broader strategy focused on the convergence of sport, data, and digital ecosystems.
From inaugural champions to record valuation
Rajasthan Royals’ journey underscores the IPL’s financial evolution. Acquired for US$ 67 million in 2008, the franchise has undergone multiple ownership changes and valuation jumps over the years.
A 2021 minority stake sale valued the team at approximately INR 550–600 crore (approx. US$ 59–64 million), highlighting the scale of growth leading up to the current US$ 1.63 billion deal.
The latest transaction establishes a new benchmark for franchise pricing in cricket and reinforces the IPL’s position as a premium global sports property attracting long-term institutional and strategic investment.
