Gaming giant Nazara Technologies has decided not to participate in esports subsidiary Nodwin’s fresh capital fundraise—a move that will see Nazara’s ownership in the company drop below 50%.
While Nazara will still hold the largest block of shares in the Gurugram-based company, it will waive certain controlling and restrictive rights it currently holds as the majority shareholder, the company said in a BSE filing.
This means that Nodwin will no longer be a subsidiary of Nazara. According to Nazara, the new fundraise is expected to help Nodwin pursue aggressive growth in its esports and youth media business.
“In order to support Nodwin’s next phase of growth and provide it with the operational and financial
flexibility needed to raise timely funding, the Company has also decided to waive certain controlling and
restrictive rights it currently holds as the majority shareholder,” the company said in the filing.
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Nazara acquired a majority stake in Nodwin back in 2018 when it was looking to expand its presence in the esports and gaming sector. However, in recent years, the company has focused on developing core gaming IP (intellectual property) and has aligned acquisitions to reflect this strategy.
The company recently acquired UK-based Curve Games, known for its PC and console titles, as well as its acquisition of Fusebox Games last year.
In December last year, Nazara infused Rs 64 crore into Nodwin to expand its business and IP portfolio.
As a subsidiary of Nazara, Nodwin had also inorganically expanded through acquisitions. In November last year, the company acquired Trinity Gaming for Rs 24 crore in a combination of secondary sale and stock swap. Earlier this year, the company acquired Starladder, an esports IP and services company, in a deal valued at $5.5 million.
Edited by Kanishk Singh
