The owners of the Indian Premier League have been licking their lips after seeing the high valuations of the Rajasthan Royals and the Royal Challengers Bengaluru in their recent sales. With RCB’s valuation going beyond ₹16,500 crores ($1.78 billion), the owners are hopeful that their investments in the teams in the IPL will fetch high returns.
Reacting to the massive growth of IPL, Parth Jindal, co-owner of the Delhi Capitals, recalled how he had to convince his father in 2019 when buying a 50% stake in the formerly Delhi Daredevils franchise. Jindal spent ₹550 crores at the time to buy half of the franchise. Going by the recent valuations, his stake could be somewhere around ₹1000 crores, given that the Capitals franchise has multiple teams in different tournaments, including SA20, ILT20, and Women’s Premier League (WPL), along with the team in the IPL.
Parth Jindal: Had a tough time convincing my father
Parth Jindal, while speaking at a forum, was asked to share his views on the recent sale of the Rajasthan Royals and Royal Challengers Bengaluru. The 35-year-old shared how he was hopeful of seeing the valuations of the Indian Premier League grow further. Owning a massive 50% stake in the Delhi Capitals, Jindal is one of the few owners holding such a massive stake in a franchise.
However, it was not all easy for Jindal when it came to buying the Capitals. The Managing Director of JSW Cement and JSW Paints recalled how he had to convince his father when buying a 50% stake in the team. While praising the call he made in 2019, Jindal said, I entered the IPL in 2019 when I took a 50 per cent stake in the then Delhi Daredevils, which is now the Delhi Capitals. I had a tough time convincing my father that we should spend ₹550 crore for a 50 per cent stake. Now I look like a genius.”
He further talked about how the last sale of media rights paved the way for the valuations being witnessed today. “When the last media rights went for Rs 50,000 crore, that was the moment IPL truly arrived,” said Jindal.
Parth Jindal declares a $4 to 5 billion valuation of teams in future
Parth Jindal, while reacting to the sale of the two franchises from the original eight teams, talked about how he believes that the valuation could increase massively. The DC co-owner believes that the valuation could rise up to as much as $4 to 5 billion (₹37,600 to ₹47,000 crores approximately). Jindal said, “This is a scarce asset, and there are only 10 IPL teams. Everybody would want a piece of it. I won’t be surprised if each IPL team in the next decade is worth USD 4 to 5 billion.” If Jindal’s prediction does come true, then his 50% could multiply by four times.
He mentioned how the introduction of the Women’s Premier League has made a huge contribution towards the significant rise in the valuation. Interestingly, RCB, the franchise with the highest valuation, also has a successful team in the WPL. “The advent of the WPL was a watershed moment for the sport,” Jindal said.
Royal Challengers Bengaluru was bought by a consortium featuring Aditya Birla Group, Times of India, Bolt Ventures, and Blackstone’s BXPE. Meanwhile, Rajasthan Royals was sold to a consortium consisting Kal Somani, Rob Walton (Walmart family) and the Hamp family.
