Nazara Technologies, a gaming company, has announced a new Share Purchase Agreement with Absolute Sports. With this deal, the gaming firm is set to obtain a 6.05% ownership stake for INR 19.99 crore in Absolute Sports. The procurement will be completed in 30 days and the consideration will be paid in cash.
The old Share Purchase Agreement dated June 24, 2022, performed for an evaluation of INR 4.99 crore with Porush Jain and Absolute Sports will stand revoked with the conclusion of the new Share Purchase Agreement because the closing could not take place within the timeframes.
Absolute Sports is a structural subsidiary of Nazara and thus falls under related party transactions. It went on to explain that the promoter/promoter group/group organisations are uninterested in Absolute. It was also stated that the transaction was conducted on an arm’s length basis.
Absolute Sports specialises in sports media, sports consulting companies, sports management, sports events, online sports goods retail, sports magazines, and online and print news coverage of football, cricket, hockey, kabaddi, badminton, table tennis, and every other sport.
Absolute Sports’ turnover has been steadily increasing. The company’s revenue in FY22 was INR 80.65 crore, up from INR 35.28 crore in FY21 and INR 15 crore in FY20. Absolute Sports had a 75.78% stake in the firm as of March 2022.