Rekha Rakesh Jhunjhunwala-backed Nazara Technologies Acquires Intellectual Rights for Ultimate Teen Patti

Nazara Technologies Limited, a prominent player in the gaming industry, has unveiled plans for its subsidiary Next Wave Multimedia Private Limited (Nextwave) to secure the intellectual property rights of the widely acclaimed mobile game “UTP – Ultimate Teen Patti” from U Games Private Limited, a subsidiary of Play Games24x7 Private Limited.

Capturing the Essence of UTP – Ultimate Teen Patti

UTP – Ultimate Teen Patti, a cherished free-to-play card game, has captivated Indian audiences since its inception in 2015. Recognized as one of the top three freemium casual card games developed by Indian entities, it has established a significant following among gamers.

The Acquisition Deal

Nextwave’s acquisition encompasses the complete spectrum of intellectual property rights associated with the UTP game, encompassing software and related trademarks, from U Games. The transaction, valued at Rs 10 crores (100 million Indian Rupees), will be disbursed in cash by Nextwave to U Games in one or multiple installments.

Strategic Implications

This acquisition marks a strategic move by Nextwave and Nazara Technologies to broaden their footprint in the casual freemium gaming domain by integrating the highly popular UTP game into their portfolio. With its proven track record and widespread popularity, UTP – Ultimate Teen Patti presents an invaluable addition to their offerings, enhancing their appeal to the gaming community.

Financial Performance

UTP – Ultimate Teen Patti has exhibited robust financial performance, generating a gross revenue of Rs 7 crores (70 million Indian Rupees) during the financial year 2022-2023. This financial success underscores the game’s enduring popularity and revenue-generating potential.

Notably, this acquisition does not qualify as a related party transaction, and the promoters/promoter group of Nazara Technologies maintain no vested interest in the deal. Regulatory approval is not mandated for this transaction, which is slated for completion within a span of 90 days.

In essence, this announcement heralds a strategic maneuver by Nazara Technologies’ subsidiary Nextwave to procure the sought-after casual card game “UTP – Ultimate Teen Patti” from U Games, a subsidiary of Play Games24x7, for Rs 10 crores. This strategic acquisition is poised to fortify Nazara’s foothold in the casual freemium gaming landscape, reaffirming its commitment to delivering engaging gaming experiences to its ever-expanding user base in India.

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