CVC Capital Partners To Offload Majority Stake In Gujarat Titans; Adani and Torrent Groups in Talks
CVC Capital Partners is reportedly looking to sell a majority stake in the Indian Premier League (IPL) franchise, Gujarat Titans, according to a report in The Economic Times. The Luxembourg-headquartered private equity firm is in discussions with the Adani Group and Torrent Group to transfer control of the franchise, which is currently valued between $1 billion and $1.5 billion. CVC Capital to Retain Minority Stake CVC Capital, which purchased the Gujarat Titans for $745 million in 2021, plans to retain a minority stake in the team. The move comes as the Board of Control for Cricket in India’s (BCCI) lock-in period, which prevents new teams from selling stakes, is set to end in February 2025. Gujarat Titans: A Rapid Rise in Value The Gujarat Titans franchise, based in Ahmedabad, is only three years old but has already achieved decent success, including winning its maiden IPL title in the IPL 2022 season. The franchise’s rising popularity has significantly increased its market value, making it an attractive acquisition target for major conglomerates. Adani and Torrent: Ahmedabad-Based Contenders Both Adani and Torrent Groups are based in Ahmedabad. The Adani Group, which has already made a couple of investments in cricket, including owning the Gujarat Giants franchise in the Women’s Premier League (WPL) and participating in the UAE-based International League T20 with their team, Gulf Giants, had previously bid Rs 5,100 crore for the Gujarat Titans in 2021 but was outbid by CVC Capital. In 2023, Adani secured the WPL franchise, Gujarat Giants with a top bid of Rs 1,289 crore. Torrent Group’s Potential Cricket Debut Torrent Group, although yet to enter the cricket arena, is showing interest in acquiring the Gujarat Titans. The move would mark Torrent’s debut in the sport. CVC Capital’s Diverse Sports Portfolio CVC Capital’s investment portfolio extends beyond cricket. The firm holds stakes in various sports entities, including LaLiga, Premiership Rugby, Volleyball World, and the Women’s Tennis Association. The potential sale of a majority stake in the Gujarat Titans aligns with CVC’s strategic management of its diverse sports investments. As negotiations progress, the cricket community keenly watches the potential shift in ownership, anticipating the impact on the franchise and the broader dynamics of the IPL. The Sportz Planet Desk,Atharva Shetye
