India-US consortium buys IPL's RCB for $1.7bn

A consortium of investors, including US asset management giant Blackstone, on Tuesday announced the takeover of Royal Challengers Bengaluru (RCB), one of the founding clubs of Indian Premier League, for nearly $1.8 billion.

The announcement comes just days before the start of the lucrative T20 tournament on Saturday.

The franchise, which won the IPL for the first time last year, was sold by United Spirits Limited, the Indian unit of British alcoholic beverage giant Diageo, for 166.6 billion rupees ($1.77 billion).

In a statement, the acquiring consortium said it was "proud to become custodians of RCB."

The group includes Bolt Ventures, run by leading sports investor David Blitzer, Indian media conglomerate The Times of India Group, along with Blackstone and Indian corporate giant Aditya Birla Group.

RCB's "championship-winning culture" and its connection to the southern city of Bengaluru and "one of the most passionate fanbases in world sport make this an extraordinary opportunity."

"We are committed to taking RCB to new heights, on the pitch and beyond."

Praveen Someshwar, chief executive at United Spirits Limited, said the deal was a milestone "as we sharpen focus on our core beverage alcohol business to unlock its true potential with sustained growth."

The sale announcement came hours after RCB announced it will keep 11 seats at Bengaluru's M. Chinnaswamy Stadium empty in memory of the fans crushed to death in title celebrations last year.

Eleven supporters, aged between 14 and 29, died in a stampede outside the stadium in June a day after RCB won the final against Punjab Kings and returned to a homecoming trophy parade.

Earlier this year, RCB's women's team won their second Women's Premier League title.