Nazara Technologies Completes Major Acquisition of Paper Boat Apps

Nazara Technologies Limited announced a significant development with its acquisition of an additional 48.42% equity stake in Paper Boat Apps Private Limited. This acquisition, made on September 6, 2024, was pursuant to the Share Purchase Agreement (SPA) signed on July 19, 2024, between Nazara, Paper Boat Apps, and its founding shareholders, Mr. Anupam Dhanuka and Ms. Anshu Dhanuka.

As part of the SPA, Nazara Technologies has paid a cash consideration of ₹225 crores to the founding shareholders in the first tranche, out of a total ₹300 crore consideration for the complete acquisition. The remaining amount will be paid as outlined in the agreement, with updates on the progress to be provided at a later stage. With this acquisition, Nazara now holds 100% of Paper Boat Apps’ equity, making it a wholly-owned subsidiary of Nazara Technologies. In addition, Kiddopia Inc., the fully owned subsidiary of Paper Boat Apps, will continue to operate as a step-down subsidiary of Nazara.

Paper Boat Apps is known for its flagship product, Kiddopia, a highly popular edutainment app that provides interactive learning experiences for young children. This acquisition aligns with Nazara’s strategy of expanding its footprint in the growing children’s edutainment and digital content space.

Nazara Technologies reported mixed results in Q1 FY 2025. The company’s revenue from operations was ₹250.1 crore, slightly lower than the ₹254.4 crore posted in Q1 FY 2024. However, there was a noticeable increase in profitability, with a profit after tax (PAT) of ₹2,362 lakh in Q1 FY 2025, up from ₹2,086 lakh in Q1 FY 2024.

This acquisition and the financial performance of Nazara Technologies signal the company’s continued commitment to strengthening its position in the gaming and digital content industry, with a particular focus on children’s entertainment and education through its subsidiary, Kiddopia.

On September 9, 2024, the share price of Nazara Technologies Ltd opened at ₹928.00, touching the day’s high at ₹935.05, as of 9:44 AM on the NSE.

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