RPSG Group is exploring the sale of a 15–20% stake in Lucknow Super Giants, potentially valuing the Indian Premier League franchise at between US$1.5 Billion and US$2 billion.
The Sanjiv Goenka-led group has begun the process of selecting an investment banker for the proposed transaction, with Goldman Sachs emerging as the frontrunner, according to a report by LiveMint. A final decision on the adviser has not yet been made.
At the valuation being targeted for LSG, a 15–20% holding would be worth approximately US$225 million to US$400 million, giving RPSG an opportunity to monetise part of its investment while retaining majority ownership of the franchise.
LSG value could far exceed original acquisition price
RPSG secured the Lucknow franchise in November 2021 for ₹7,090 crore (approx. US$735 million), when the IPL expanded from eight to 10 teams.
LSG is held through RPSG Sports Pvt Ltd. RPSG Ventures Ltd owns 51% of the company, while the remaining 49% is held by Kolkata-based non-banking finance company Rainbow Investments Ltd.
The upper end of the valuation now being considered would put LSG at well over twice the US-dollar equivalent of the price RPSG paid for the franchise in 2021, illustrating the increase in the value being placed on IPL ownership.
RCB and Rajasthan Royals deals reshape IPL valuations
The potential LSG stake sale follows two major IPL ownership transactions this year, providing fresh benchmarks for franchise values.
Royal Challengers Bengaluru, champions of the 2025 and 2026 IPL seasons, were sold in March at a US$1.78 billion valuation to a consortium comprising Kumar Mangalam Birla’s Aditya Birla Group, the Times of India Group, Bolt Ventures and Blackstone, as previously reported by cricexec.
Rajasthan Royals subsequently changed hands at a US$1.65 billion valuation, as reported previously by cricexec. Lakshmi Mittal acquired a 75% stake in the franchise, Adar Poonawalla purchased 18%, while former principal owner Manoj Badale retained the remaining 7%.
Together, the transactions establish recent reference points against which a potential minority investment in LSG can be assessed.
IPL business value climbs above US$20 billion
The wider IPL has also continued to appreciate in value. US investment bank Houlihan Lokey estimated that the business value of the 10-team competition increased by more than 11% this year to US$20.6 billion.
That growth, combined with the RCB and Rajasthan Royals transactions, provides the commercial backdrop to RPSG’s consideration of a partial divestment in LSG.
The next step in the process is expected to centre on the appointment of an adviser, with Goldman Sachs currently the frontrunner but no final selection made as RPSG continues to evaluate the proposed minority stake sale.
