New Delhi: Gaming and sports media platform Nazar Technologies on Wednesday announced that its board has approved preferential allotment of fresh equity to raise Rs 315.30 crore from marquee institutional investors. The Rakesh Jhunjhunwala-backed company said that “the fresh funds will be used to invest in growth initiatives as well as pursue strategic acquisitions across the company’s various business verticals, including gamified learning, freemium, skill-based real money gaming.” And the company continues to expand its ‘Friends of Nazra’ ecosystem in the form of e-sports.”
In a notification to the exchanges, Nazara said, “It will issue 14,29,266 equity shares of face value of Rs 4 each at a price of Rs 2,206 per equity share up to Rs 315,29,60,796 to Gamanat Pte Ltd and Plutus Wealth Management LLP.” “
Manish Aggarwal, CEO, Nazra Tech, said, “The investment of such institutional investors will act as a catalyst for Nazra Flywheel to grow rapidly across all business segments and consequently at parent as well as ancillary levels. Shareholder value will be added organically and inorganically.”
The gaming and sports media platform had a great start to the exchanges in March this year.
The board also said that it has “approved the acquisition of 1,601 equity shares of Rs 10 each, representing 5.54% of the paid-up share capital of Rusk Media Pvt Ltd, with a total consideration not exceeding Rs 2.02 crore.”
Nazar mentioned that Rusk brings expertise in content creation for Gen-Z and Millennials. The content startup posted revenue of Rs 7.1 crore in FY 2020-21 (FY21), as against Rs 3.4 crore in 2019-20 (FY20).
In addition, Nazara Tech said it has “issued 6,48,125 equity shares worth Rs 142,97,63,750 crore to Unnati Management Consultants, an existing shareholder of OpenPlay Technologies Pvt Ltd, to acquire the remaining 76.70% stake.” ”
The ‘Friends of Nazara’ network includes established gaming companies, in which Nazara holds a majority stake and actively works with existing founders and management teams to rapidly achieve scale.
On Wednesday, the company’s shares closed at Rs 2,630.80, up 5.60%.