The projected valuation of Gujarat Titans ranges from $1 billion to $1.5 billion. The Gujarat Titans, an IPL team that has been around for three years, are available for sale. CVC Capital Partners is in negotiations to sell the majority of the team with Adani and Torrent Groups.
According to a story in The Economic Times, CVC Capitals intends to sell the majority of its stock while holding onto a minority position.
Since the Board of Control for Cricket in India’s (BCCI) lock-in period, which prohibits new teams from selling interests, ends in February 2025, the franchise hopes to find a new owner before the following IPL season.
The Gujarat Titans, one of the IPL’s newest clubs, are projected to be worth between $1 billion and $1.5 billion. Notable is the fact that CVC paid ₹5,625 crore in 2021 to purchase the franchise. The franchise has performed remarkably well in its brief existence. They participated in two championship games and won the trophy in their first year.
“Both Adani and Torrent are vying aggressively to buy a majority stake in Gujarat Titans, having missed out on the opportunity to own IPL’s Ahmedabad franchise in 2021,” an official source informed ET. It’s a fantastic chance for CVC to profit from their ownership of the franchise.
“IPL franchises have been attracting a lot of investor attention since the league has established itself as an attractive asset with solid cash flows,” another executive was cited as adding, regarding the competition between Adani and Torrent groups.
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Unlike Torrent, the Adani Group has made previous cricket investments. The Indian business magnate has already made investments in the UAE-based International League T20 and the Women’s Premier League (WPL). With a winning bid of ₹1,289 crore, he won the Ahmedabad franchise in the WPL last year.
The sports franchise is well-known for having received funding from CVC. The company is in charge of assets valued at Rs 193 billion. By now, they have made investments in major league sports like Women’s Tennis Association, Premiership Rugby, Volleyball World, and Spanish football league La Liga.
The BCCI released a call for bids in 2021 to expand the IPL to include two more city-based clubs. Torrent Group bid Rs 4,653 crore and Adani Group bid Rs 5,100 crore, making Ahmedabad one of the most hotly contested cities.
The Gujarat Titans were acquired by CVC Capital-owned Irelia Sports in 2021 following the BCCI’s announcement of the addition of two additional city-based IPL teams. The Adani Group and the Torrent Group both made bids for the Ahmedabad-based squad at the time, creating fierce competition for ownership of the club.
The Gujarat Titans are ranked seventh among IPL teams with a brand worth of $124 million, according to Houlihan Lokey. Chennai Super Kings, the five-time winners, were first in the rankings with a $231 million brand value.
Arvinder Singh, the COO of the Gujarat Titans, earlier said that the team will “attain profitability in the next media rights cycle.” It took four or five years for even the first ten franchisees to start turning a profit. We are sure that not only will we become profitable, but that the value of our brand will rise dramatically as well.
