The Sanjiv Goenka-led RPSG Group is exploring the sale of a 15-20% stake in Lucknow Super Giants (LSG), according to three people aware of the development, as valuations of franchises in the Indian Premier League, the top T20 cricket tournament, surged and Indian billionaires snapped up two teams this year.
The process of appointing a banker for the mandate has started, with Goldman Sachs emerging as the frontrunner to advise on the transaction, the people told Mint.
“However, the final decision on the banker is yet to be made,” one person added.
RPSG is seeking a valuation of $1.5 billion to $2 billion, the people said. The RPSG Group acquired the Lucknow franchise for ₹7,090 crore ($800 million) in November 2021.
At the valuation sought, a 15-20% stake could be worth $225 million-400 million. The Lucknow franchise is held through RPSG Sports Pvt Ltd. Ltd holds a 51% stake in the company, while the remaining 49% is held by Rainbow Investments Ltd, a Kolkata-based non-banking finance company and promoter group investment company for RPSG Ventures.
Queries sent to the RPSG Group did not elicit a response at publishing time. Goldman Sachs declined to comment.
According to a report by US-based investment bank Houlihan Lokey, the business value of the world’s richest Twenty20 league has increased more than 11% to $20.6 billion this year. Since its launch in 2008, the 10-team league has built a commercial model combining broadcast revenue, sponsorships, merchandising and investments.
Indian billionaires have already taken over two IPL teams this year. Royal Challengers Bengaluru (), the IPL champion in 2026 and 2025, was sold at a valuation of $1.78 billion. A consortium of billionaire Kumar Mangalam Birla’s Aditya Birla Group, the Times of India Group, Bolt Ventures and Blackstone bought the team from United Spirits Ltd in March.
Rajasthan Royals, which won the inaugural in 2008 and was the runner-up in 2022, changed hands at a valuation of $1.63 billion, setting new benchmarks for IPL franchise valuations and potentially strengthening the case for others seeking a higher valuation of sports assets. The team is now owned by billionaire Lakshmi Mittal (75% stake), billionaire Adar Poonawalla of Serum Institute of India (18%) and Manoj Badale, the previous lead owner.
LSG, which joined the IPL with the Gujarat Titans in 2022, is one of the few teams that is yet to reach the final of the tournament. After reaching the third position on the table in its first two years, its performance has declined and it finished at the bottom in the latest edition that ended on 31 May.
Care Ratings said in a 10 September report on RPSG Sports that recent high-value IPL transactions have unlocked franchise valuations. The rating company also cited the expiry of the lock-in period for a stake sale in LSG as providing “significant financial flexibility” to its owner.
Care expects the next IPL central media-rights cycle, beginning in 2028, to support revenue growth for franchise owners, adding to the longer-term attractiveness of the assets. The media rights for IPL seasons 2023-27 were sold for ₹48,390.32 crore ($6.2 billion).
RPSG Sports has a ₹709 crore annual franchise-fee obligation through FY31, according to Care. The rating company said RPSG Sports is expected to continue relying on promoter support and external debt to meet its obligations.
The financial pressure comes despite a relatively stable revenue stream for the franchise. RPSG Sports generated ₹499.3 crore in operating income in FY26, while its revenue stood at about ₹530 crore in H1 of FY27, including about ₹415 crore from central rights income.
