Big bull Rakesh Jhunjhunwala bought a stake worth Rs 180 crore in gaming firm Nazara Technologies. Mumbai-based Nazara is the firm behind popular gaming titles such as Chhota Bheem and Virat Cricket. It also owns mobile gaming rights to popular figures like Virat Kohli, Rohit Sharma, Hrithik Roshan, Motu Patlu.
According to a report in The Economic Times, Nazara is set to launch its IPO sometime next year. Adding Jhunjhunwala’s investment, the company has accumulated close to Rs 500 crore in pre-IPO placements done through a secondary transaction.
An early investor WestBridge Capital looks to gain return that is 40-50 times its initial USD 3 million investment made in 2005. IIFL had also picked up a minority stake for Rs 330 crore in Nazara earlier this month.
Jhunjhunwala told the paper that Nazara is the right fit to be a market leader in the mobile gaming arena. He said that the company has an agile management and positive cash flows which were key pointers to make his investment in the company.
Jhunjhunwala previously stayed away from investing in startups as they companies were making a loss at the moment. Currrently, he also has an investments in Hungama and Airpay and Exfinity Venture Partners, according to the report.Nazara was founded by Nitish Mittersain and has users in 61 countries. Its target markets are in India, South East Asia, and Africa.