Billionaire Lakshmi Mittal to Acquire Rajasthan Royals in $1.65 Billion Deal
The landscape of the Indian Premier League (IPL) has shifted once again as global steel magnate Lakshmi Mittal and his family move to acquire the Rajasthan Royals. In a transaction that underscores the skyrocketing valuation of cricket franchises, the deal values the team and its global affiliates at $1.65 billion.
This acquisition isn’t just a change in ownership; it’s a strategic expansion. The deal includes the Royals’ international footprint, encompassing the Barbados Royals in the Caribbean Premier League (CPL) and the Paarl Royals in South Africa’s SA20. The transaction is expected to close in the third quarter of 2026, pending regulatory approvals from the Board of Control for Cricket in India (BCCI) and the IPL Governing Council.
Ownership Breakdown and Board Structure
The new ownership structure creates a powerhouse consortium of industrial and pharmaceutical wealth. The Mittal family will hold a commanding 75% stake in the franchise. Joining them is businessman Adar Poonawalla, who will acquire an 18% share.
The remaining 7% will be distributed among existing investors, including current principal owner Manoj Badale. This arrangement ensures a level of continuity, as Badale will remain involved in the franchise’s transition.
The revamped board will feature a blend of new capital and established leadership, consisting of:
- Lakshmi Mittal (Chairman and largest shareholder of ArcelorMittal)
- Aditya Mittal
- Vanisha Mittal-Bhatia
- Adar Poonawalla
- Manoj Badale
“I love cricket, and my family is from Rajasthan, so there is no IPL team that I would rather be part of than the Rajasthan Royals,” Lakshmi Mittal stated. “I look forward to being part of this great team and cannot wait to join all the fans pitch-side to cheer on our future success.”
A High-Stakes Bidding War
The path to the Mittal family’s acquisition was marked by intense competition. A U.S.-based consortium led by businessman Kal Somani—backed by NFL Denver Broncos owner Rob Walton and Michael Hamp—had previously agreed to purchase the franchise for $1.63 billion in March.
Despite Somani’s group reportedly tabling the highest bid across multiple rounds, the deal failed to materialize. The Somani consortium expressed significant disappointment over the outcome, claiming they were the “lead bid from start to finish” and that their group was “fully funded, prepared to close with certainty, and never withdrew our bid.”
The shift toward the Mittal family represents a victory for investors with deep roots in the region. Manoj Badale, who originally acquired the Royals for $67 million during the IPL’s 2008 inception, praised the new owners’ “passion for cricket” and “long-term ambition for the franchise.”
The Explosion of IPL Valuations
The $1.65 billion price tag for the Rajasthan Royals is part of a broader trend of massive capital inflows into the IPL. The league has become one of the most valuable sporting properties globally, with team valuations surging as the business model matures.
To put this deal in perspective, consider these recent market movements:
- Royal Challengers Bengaluru (RCB): Recently sold to a consortium led by David Blitzer for $1.78 billion.
- Gujarat Titans: Previously valued at $858 million, with a controlling stake sold to the Torrent Group for $575 million last February.
- Rajasthan Royals (2008): Originally purchased for just $67 million.
As part of this transition, several minority investors are exiting the franchise, including Fox CEO Lachlan Murdoch and RedBird Capital Partners.
Key Takeaways: Rajasthan Royals Acquisition
| Detail | Information |
|---|---|
| Total Valuation | $1.65 Billion |
| Lead Owners | Mittal Family (75%), Adar Poonawalla (18%) |
| Included Teams | Rajasthan Royals (IPL), Paarl Royals (SA20), Barbados Royals (CPL) |
| Expected Closing | Q3 2026 |
| Exiting Investors | RedBird Capital Partners, Lachlan Murdoch |
What’s Next for the Royals?
With the financial backing of Lakshmi Mittal—whose net worth is estimated by Bloomberg at $35.7 billion—the Rajasthan Royals are positioned for aggressive growth. The Mittal family already has a history of sports investment, with Aditya Mittal co-owning the NBA’s Boston Celtics and Lakshmi Mittal previously holding a stake in English soccer club Queens Park Rangers (QPR).
The focus now shifts to the regulatory approval process. Once cleared by the BCCI and the IPL Governing Council, the new board will likely look to leverage its global sports experience to elevate the franchise’s brand and performance on the pitch.