Nazara Technologies, a prominent gaming firm based in Mumbai, has announced a significant investment of Rs 982 crore in Moonshine Technology, the parent company of PokerBaazi. This investment will see Nazara acquire a substantial 47.7% stake through a combination of secondary and primary share purchases, marking one of the largest consolidations in the skill-based poker gaming sector.
Nazara’s board has approved the acquisition of 18,96,674 equity shares of Moonshine from its current shareholders, including PSM Group, Bellerive Capital, and other individuals, via a secondary purchase. The total transaction is valued at Rs 832 crore ($100 million), which includes Rs 592 crore from secondary purchases and an additional Rs 239 crore through a share swap arrangement.
To further cement its position as a majority stakeholder in Moonshine, Nazara will invest an additional Rs 150 crore to acquire primary shares in the company. PokerBaazi, which represents over 85% of Moonshine’s total net revenue, will now be under Nazara’s majority control.
PokerBaazi has become a key player in the Indian poker scene, reporting around 340,000 monthly active users as of May 2024. The company’s revenue for FY24 stood at Rs 414.9 crore, with an EBITDA of Rs 41.2 crore, compared to Rs 268 crore in revenue and Rs 27 crore in EBITDA for FY23.
Moonshine’s other venture, SportsBaazi, a fantasy sports platform, contributes around 12% of its overall revenue.
This latest acquisition is part of Nazara’s ongoing strategy to expand its portfolio through acquisitions and investments. The company has made notable moves in the gaming space over the past year, including acquiring a 15.86% stake in esports startup Stan, purchasing UK-based Fusebox Games for $27.2 million, and securing assets from DeltiasGaming.
When initially approached for comment regarding the deal, representatives from both PokerBaazi and Nazara dismissed the news as speculation. However, with the transaction now confirmed, this deal solidifies Nazara’s growing influence in India’s gaming sector.
