Gaming and sports media powerhouse Nazara Technologies has solidified its global presence by acquiring Fusebox Games Limited, a prominent UK-based gaming studio, for Rs 228 crore ($27.2 million) in an all-cash deal.
Fusebox Games, known for its interactive story game “Love Island,” is also at the forefront of developing new titles based on popular international TV properties. In the calendar year 2023, Fusebox reported impressive revenues of Rs 87.5 crore ($10.4 million) with an EBITDA of Rs 11.7 crore ($1.4 million). The studio has demonstrated significant growth in 2024, with year-to-date revenues (January-July 2024) reaching Rs 116.6 crore ($13.9 million) and an EBITDA of approximately Rs 33.3 crore ($4 million).
The acquisition is a strategic move for Nazara, which aims to enhance its portfolio of interactive and mobile gaming content. Fusebox’s established presence in developed markets, including the US, UK, Australia, and Canada, complements Nazara’s expansion strategy. With a team of 30 employees based primarily in the UK, Fusebox is well-positioned to contribute to Nazara’s growth trajectory.
In addition to this acquisition, Nazara has received a letter of intent (LOI) for acquiring sports entertainment company Smaaash, currently undergoing an insolvency process. This move aligns with Nazara’s broader strategy announced in March to invest $100 million in mergers and acquisitions over the next 24 months. Since then, the company has also acquired Circle of Games and Kiddopia developer Paper Boat Apps, along with the IP rights for Ultimate Teen Patti from Games24x7 and the assets of Deltias Gaming.
Nazara Technologies reported robust financials for Q1 FY25, with total revenue reaching Rs 254.43 crore and a profit of Rs 17.8 crore. For the fiscal year ending March 2024 (FY24), the company saw a 4.3% increase in revenue from operations, totalling Rs 1,138 crore, up from Rs 1,091 crore in FY23. This growth, coupled with controlled costs and increased other income, enabled Nazara to achieve a 23% rise in profit, reaching Rs 75 crore in FY24 compared to Rs 61 crore the previous year.
Earlier in 2024, Nazara raised Rs 250 crore ($30 million) from notable investors, including Kamath Associates & NKSquared, ICICI Securities, and Plutus Wealth Management. This recent acquisition of Fusebox Games is set to further bolster Nazara’s position in the global gaming market and drive continued innovation and expansion.
