GLOBAL PRIVATE EQUITY INVESTORS, including KKR and Blackstone, are increasingly turning their attention to the Indian Premier League (IPL), attracted by surging revenues, record-breaking viewership and its centralised revenue-sharing structure, according to a report by Bloomberg.
Widely regarded as the world’s richest cricket league, the IPL’s business value rose to $18.5bn last year, according to Houlihan Lokey. The figure makes it the second-most valuable sports league on a per-match basis, behind the National Football League.
KKR and Blackstone are reportedly assessing potential stakes in franchises such as defending champions Royal Challengers Bengaluru and Rajasthan Royals. Swiss investment firm Partners Group is also said to be exploring a possible entry into at least one team.
Investor appetite for IPL assets intensified after European private equity firm CVC Capital Partners sold a majority stake in Gujarat Titans, generating returns of more than 350% within four years and valuing the franchise at around $900m.
Key drivers behind the private equity interest include the league’s pooled revenue model, rising franchise earnings and the 2022 broadcast rights cycle, which more than doubled in value to over $6bn. Analysts note that several teams have since recorded sharp increases in both revenue and profitability.
Industry observers also point to the limited number of franchises, open private ownership structure and strong media economics as factors that make the IPL an attractive asset class, despite potential risks from competing global leagues and the Disney-Reliance merger, which holds media rights through 2027.
