India-based gaming and sports media company Nazara Technologies has acquired a 47.7% stake in Moonshine Technology Private, operator of the PokerBaazi online poker platform.
As part of the deal, Nazara will pay ₹832 Crore (£75.4m/€89.3m/$99.2m) to purchase the stake. Nazara will also inject ₹150 Crore in primary capital into PokerBaazi operator Moonshine via compulsory convertible preference shares. This stock will automatically convert into equity shares once the deal is completed.
The flagship PokerBaazi brand has approximately 340,000 monthly active users and draws 85% of the company’s net revenue. Moonshine also operates the SportsBaazi fantasy sports platform, which generates 12% of overall revenue.
Moonshine is headed by founder and CEO Navkiran Singh, with support from co-founders Puneet Singh, Varun Ganjoo, Avneet Rana and Anirudh Chaudhry.
“As the Indian gaming sector continues to grow, we firmly believe that partnering with Nazara is the right step towards advancing the nation’s gaming ecosystem,” Navkiran Singh said. “This partnership will also contribute to our aim for global expansion in the gaming space.”
Acquisition a “significant” step for Nazara
Also commenting on the deal, Nazara CEO Nitish Mittersain welcomed the acquisition. He also said it would support the ongoing evolution of India’s gaming market.
“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.
“PokerBaazi has not only emerged as the undisputed leader in online poker gaming in India but has also set new standards in user engagement, innovation and overall experience. We’re excited to join forces with Navkiran, Puneet and the entire Moonshine team, whose vision and leadership have been instrumental in shaping the poker landscape in India.
Earlier this week (9 September), India’s Goods and Services Tax (GST) Council voted to keep its 28% turnover tax for gambling operators, after reviewing it six months after launching the policy.
Minister of finance and corporate affairs Nirmala Sitharaman told the media that online gambling revenue had shot up 412% between November and April to ₹6,909 Crore ($823m/£628m) thanks to the new levy.
