Gaming platform company Nazara Technologies has acquired another 10.26% stake in Absolute Sports – a subsidiary – for Rs 72.73 crore, raising its stake in the company to 81.94%, an exchange filing said on December 26.
Nazara has a share purchase agreement (SPA), dated September 18, 2024 with subsidiary Absolute Sports and founding shareholders Porush Jain and Srinivas Cuddapah for the acquisition of 19.35% stake. This stake acquisition by Nazara is part of the existing SPA, the statement has said. “…we wish to inform you that the Company, today, i.e., December 26, 2024, has acquired 21,830 equity shares of INR 1/- each, representing 10.26% of the equity share capital of Absolute, from its Founding Shareholders.”
Absolute Sports is the parent of Sportskeeda, and Nazara Tech is purchasing the stake from the founding shareholders. Sportskeeda has maintained its ranking among top 10 US sports news websites as of September 30. Absolute Sports has increased its revenue and EBITDA by 22% and 18% respectively in H1 FY25.
In H1FY25, gaming contributed 36% to the company’s revenue, while e-sports contributed 57% to it. Nazara operates in three business segments; Gaming, Esports, and Ad-tech. North America remains Nazara’s largest market with 39% share in revenue, while India and Rest of the World are at 31% and 30% respectively in H1FY25.
Sportskeeda’s business continues to grow well in terms of revenue and EBITDA, however, it saw a short term dip during Pro Football Network, which recorded an on-year decline in EBITDA. “Pro Football Network was impacted during September which affected its traffic flow when the NFL season was starting. We believe this is a temporary glitch and the site should recover in the next few quarters,” said the company. Moneycontrol