Nazara Technologies informed the stock exchanges that it has raised ₹315 crore from marquee investors via preferential allotment of fresh equity.
The company will issue 14,29,266 equity shares of face value of ₹4 each at a price of ₹2,206 per equity share. As per Sebi guidelines, these shares will be locked in for a period of 1 year from the date of issue.
This infusion of fresh funds, the company said, will be utilised to invest in growth initiatives of the company as well as pursue strategic acquisitions in the various business verticals of the company including gamified learning, freemium, skill based real money gaming and esports.
Nazara is an India based diversified gaming and sports media platform with a presence in India and across emerging and developed global markets such as Africa and North America.
Ace investor Rakesh Jhunjhunwala owns 32,94,310 shares, which amounts to around 10.82% stake in the company, as per the shareholding pattern at the end of June quarter.
On Wednesday, Nazara Tech’s scrip rose 5.43% at ₹2,625.10 on NSE. In the last one month alone, the stock has given stellar returns to the investors with a gain of nearly 44%. Since the start of 2021, the shares have gained over 60%.
Under the equity issuance, 6,48,125 equity shares worth around ₹143 crore will be allotted to Unnati Management Consultants, an existing shareholder of OpenPlay Technologies Pvt Ltd, as consideration other than cash, for acquisition of balance 76.70% stake of OpenPlay Tech.
Post completion of this acquisition, OpenPlay Tech will become wholly owned subsidiary of the Nazara Technologies.
The Board also approved the acquisition of 1,601 equity shares of ₹10 each representing 5.54% of the paid up share capital of Rusk Media for ₹2.02 crore.
Nazara Technologies is betting big on real-money gaming and is eyeing ₹100 crore in revenues by the end of FY22. The company’s future strategy entails building a plug-and-play, software-as-a-service (SaaS) offering for real-money games which will allow any platform or individual to offer the service to their users.
Source: Mint