After Mobile Premier League raised funds of $95 million (about Rs692 crore) last Tuesday, there is another huge investment news coming from the Indian Online gaming sector, with Mumbai-based gaming startup Nazara Technologies Ltd raising a fresh funding of Rs100 crore from Instant Growth Limited (IGL).
IGL, which is the investment vehicle of North America-based limited partners (LPs) of Hornbill Orchid India Fund, had never invested in Indian Gaming sector and the funding to Nazara makes it their first Capital funding in this particular ecosystem.
With the growing potential of the Indian market, which has seen an excellent boom in 2021, there were options for IGL to find its suitable partner and they have decided to go with Nazara which has stakes in mobile gaming, eSports and sports media.
"We welcome Hornbill Capital’s entry into the Indian gaming ecosystem with their investment in Nazara. We are glad that they share our conviction and excitement on the future of the gaming sector in India and the value creation potential which gaming offers to the investors," Manish Agarwal, chief executive, Nazara said in a statement, reported Mint.
Earlier, Nazara had raised Rs327 crore in November 2017 from IIFL Special Opportunities Fund and ₹182 crore in December 2017 from billionaire investor Rakesh Jhunjhunwala. Nazara, however, has been pretty active in the gaming investment market in the last couple of months.
Recently, the company had filed a Draft Red Herring Prospectus with the Securities and Exchange Board of India (SEBI) Plutus Wealth Management and associates acquired shares worth more than Rs500 crore in the firm, securing from WestBridge Ventures II Investment Holdings.
"We have been closely following Nazara's journey over several years, as it evolved into a platform for gaming and gamified early learning," Manoj Thakur, founder and managing partner, Hornbill Capital Advisers LLP, said in a statement.
"Through prudent capital allocation, we believe that the team at Nazara has demonstrated their ability to build a formidable presence in esports, gamified early learning and mobile gaming – some of the most exciting spaces in India over the next decade," Thakur added.