Tiger Global, one of the largest private equity funds in India, may invest in the Indian Premier League’s club Rajasthan Royals.
A few people aware of the development told the Economic Times (ET) that the US-headquartered investment body might invest $40 million at a valuation of $650 million. Through this deal, the company is eying to mark its foray into the Indian sports sector.
“Tiger has been scouting for opportunities in the IPL,” one of the spokespersons told the ET.
“The capital infusion could be a direct or an indirect one, wherein Tiger may back one of the shareholders in Rajasthan Royals…,” said another person who is close to the matter.
“It has held discussions with a few other franchises…the transaction with Rajasthan Royals is yet to close but it should close soon,” he added.
Tiger Global, who is known as one of the early investors in the Indian e-commerce giant Flipkart, is now eying to go beyond the digital e-commerce sector. Hence, the move is expected to make a new avenue for them.
Manoj Badlale, the UK-based entrepreneur, who owns Emerging Media the parent of the franchise, holds a 60 per cent stake in the franchise. In 2021, RedBird Capital, the US-based bagged shares in a secondary deal, which valued the company at more than $250 million.
“There is no transaction in RMPL (Royal Multisport Pvt Ltd) India and we are not aware of any other transaction.” A Tiger Global spokesperson said they did not have a comment to offer, “ added Ranjit Barthakur, executive chairperson of Rajasthan Royals.