Taking a 48% share in PokerBaazi operator Moonshine Technology, India's Nazara has acquired the company.
PokerBaazi is an online poker platform that is operated by Moonshine Technology Private. Nazara Technologies, a gaming and sports media firm located in India, has just purchased a 47.7% share in Moonshine Technology Private.
Moonshine purchase by Nazara PokerBaazi purchase
To acquire the interest, Nazara will make a payment of ₹832 Crore, which is equivalent to £75.4 million, €89.3 million, or $99.2 million. In addition, Nazara would provide a main capital injection of ₹150 Crore to Moonshine, a company that operates PokerBaazi, through the use of obligatory convertible preference shares. Immediately upon the conclusion of the transaction, this stock will be converted into equity shares automatically.
A total of around 340,000 monthly active players are associated with the main PokerBaazi brand, which accounts for 85 percent of the company's net revenue. Additionally, Moonshine is the operator of the SportsBaazi fantasy sports platform, which accounts for twelve percent of the company's total revenue.
Moonshine is led by its creator and CEO, Navkiran Singh, with the assistance of Puneet Singh, Varun Ganjoo, Avneet Rana, and Anirudh Chaudhry, who were all included in the company's founding group.
In light of the fact that the gaming industry in India is continuing to expand, Navkiran Singh expressed his solid conviction that forming a partnership with Nazara is the appropriate action to take in order to advance the gaming ecosystem in the country. According to the statement, "This partnership will also contribute to our goal of expanding our gaming space on a global scale."
Nazara considers the acquisition to be a "significant" move.
Nazara CEO Nitish Mittersain expressed his satisfaction with the acquisition while also commenting on the transaction. Additionally, he stated that it will be beneficial to the continuous development of the gaming business in India.
"This investment in Moonshine Technology represents a significant step in our journey to strengthen Nazara's position as India's dominant diversified gaming platform," Mittersain said. "We are committed to becoming India's leading gaming platform."
"Not only has PokerBaazi established itself as the unrivalled leader in the realm of online poker gaming in India, but it has also established new benchmarks in terms of user engagement, innovation, and overall experience and satisfaction. Navkiran, Puneet, and the rest of the Moonshine team have been crucial in defining the poker environment in India, and we are pleased to join forces with them. Their vision and leadership have been instrumental in shaping the landscape.
The Goods and Services Tax (GST) Council of India voted earlier this week (9 September) to maintain its 28% turnover tax on gaming businesses. This decision was made after the council had reviewed the policy six months after it was initially implemented.
As a result of the new charge, the money generated by online gambling has increased by 412% between November and April, reaching ₹6,909 Crore ($823 million/£628 million). This information was provided to the media by Nirmala Sitharaman, who is the Minister of Finance and Corporate Affairs.
