Bengaluru, India – June 11, 2025
Amid widespread speculation around Diageo’s potential stake sale in Royal Challengers Bengaluru (RCB), United Spirits Ltd. — a subsidiary of global beverage giant Diageo — has firmly denied any ongoing discussions related to a divestment.
In a formal statement released to the stock exchanges, United Spirits clarified, “We would like to confirm that there are no discussions or decisions at this time regarding the sale of our stake in Royal Challengers Sports Private Limited (RCSPL), which owns the RCB franchise.”
Despite the rumors, investor sentiment remained bullish. Following the company’s clarification and a strong set of quarterly financial results, shares of United Spirits surged by over 3% in intraday trading on Wednesday. The rally highlights market confidence not only in the company’s core business performance but also in the continued brand value of the RCB franchise.
The company reported better-than-expected earnings for the quarter ended March 2025. Strong volume growth in its premium segment, improved operational efficiency, and favorable input costs contributed to the positive performance. The management also reiterated its focus on portfolio premiumization and digital transformation.
Royal Challengers Bengaluru remains one of the most valuable and popular franchises in the Indian Premier League (IPL). Despite not having clinched a title yet, RCB boasts a massive fanbase and significant brand equity, further fueled by high-profile players and celebrity ownership associations.
The speculation surrounding a potential stake sale began after unconfirmed reports suggested that Diageo might be considering a strategic reshuffle of its Indian sports and entertainment assets. However, today’s statement puts those rumors to rest — at least for now.
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United Spirits shares plummeted by 7.40% on Wednesday and never jumped 3%
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