Introduction
Esports company Nodwin Gaming, a subsidiary of publicly listed digital gaming firm Nazara Technologies, is set to receive a significant boost with a new round of equity investment. The company has attracted investments from several prominent players in the gaming industry, including Sony and Innopark, along with existing investors Nazara, Krafton Inc., and JetSynthesys. This latest round of funding amounts to Rs. 232 crore ($28 million) and signifies a substantial growth in Nodwin Gaming’s value over the past two years.
Investment Details
Nazara Technologies, in an exchange filing, disclosed its plans to invest Rs. 25.3 crore in primary capital and acquire shares worth Rs. 34.7 crore from founding shareholders such as JetSynthesys and Good Game Investment Trust. With this transaction, Nazara will increase its stake in Nodwin Gaming to 52.7%. The infusion of capital from multiple investors demonstrates the confidence in Nodwin Gaming’s potential and the esports industry as a whole.
Valuation and Stake
The latest investment round has propelled Nodwin Gaming’s post-money valuation to an impressive $349 million, marking a value accretion of 2.7 times within just two years. This valuation not only reflects the rapid growth of Nodwin Gaming but also the increasing recognition and potential of the esports sector. With Nazara Technologies owning a majority stake in Nodwin Gaming, the parent company is poised to benefit significantly from the success and expansion of its subsidiary.
Utilization of Funds
The newly acquired funds will be instrumental in fueling Nodwin Gaming’s ambitious plans for growth. The company intends to use the capital to nurture and expand the gaming and esports ecosystem. This includes developing and incubating new intellectual properties (IPs), expanding the market presence of the firm in emerging regions, and strategically acquiring complementary entities. The investment will provide the necessary financial impetus for Nodwin Gaming to solidify its position as a global leader in mobile esports and drive further innovation in the industry.
Previous Fundraising
Nodwin Gaming’s ability to attract significant investments is not new. In March 2021, the company secured funds from South Korean gaming company Krafton, amounting to a valuation of $135 million. This previous funding round was instrumental in propelling Nodwin Gaming’s growth and consolidating its position in the market. The current investment further underscores the industry’s confidence in Nodwin Gaming’s potential and the increasing prominence of the esports sector worldwide.
Revenue Growth
The success of Nodwin Gaming is exemplified by its remarkable revenue growth in recent years. With a compound annual growth rate (CAGR) of 68% over the past two years, the company has demonstrated its ability to generate substantial income while maintaining profitability. This impressive financial performance has been pivotal in establishing Nodwin Gaming as a global force in mobile esports. In the fiscal year 2022-23, Nodwin Gaming recorded revenues of Rs. 381 crore, further solidifying its market presence and revenue-generating capabilities.
Co-founder’s Statement
Akshat Rathee, the co-founder and Managing Director of Nodwin Gaming, expressed his satisfaction with the company’s achievements. Rathee highlighted the remarkable revenue growth and the ability to maintain profitability while becoming a dominant player in the mobile esports sector. Nodwin Gaming’s success is a testament to its dedication to delivering shareholder value and its relentless pursuit of excellence in the gaming industry.
Conclusion
The recent equity investment of $28 million in Nodwin Gaming by investors such as Sony and Innopark, alongside existing backers, underscores the immense growth potential of the esports industry. With the funds raised, Nodwin Gaming aims to accelerate its growth trajectory, nurture new IPs, expand its market footprint, and strategically acquire entities that complement its business. This investment reaffirms Nodwin Gaming’s position as a leading player in the gaming and esports ecosystem, further cementing its role in shaping the future of the industry.
About NODWIN Gaming:
NODWIN Gaming is an esports company established in 2014 by Akshat Rathee and Gautam Virk. The company focuses on a variety of gaming and sports entertainment intellectual properties (IPs) and utilizes the synergies between different domains to provide customers with sports-related products and services. NODWIN Gaming has made significant contributions to the esports industry since its inception.
Nodwin Gaming’s Fundraise FAQs
Who are the investors in Nodwin Gaming?
Nodwin Gaming has attracted investments from Sony, Innopark, Nazara Technologies, Krafton Inc., and JetSynthesys.
What is Nodwin Gaming’s valuation after this investment?
The latest round of funding has valued Nodwin Gaming at $349 million.
How will Nodwin Gaming use the funds?
The funds will be utilized to grow the gaming and esports ecosystem, incubate new IPs, expand the market presence, and complete strategic acquisitions.
When did Nodwin Gaming last raise funds?
Nodwin Gaming last raised funds in March 2021 from South Korean gaming company Krafton at a valuation of $135 million.
What was Nodwin Gaming’s revenue for the fiscal year 2022-23?
Nodwin Gaming’s revenue for the fiscal year 2022-23 stood at Rs. 381 crore.
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