Nodwin buys gaming adjacent IPs, talent business from OML for Rs 73 cr

Deal will provide partial liquidity to OML Entertainment shareholders, including CA Media. Ajay Nair, MD of OML, will join Nodwin board and work with Akshat Rathee, MD of Nodwin Gaming

Nodwin Gaming, South Asia’s leading esports company, and an independent subsidiary of Nazara Technologies Limited has acquired the gaming and adjacent IP business of OML Entertainment. Nodwin has agreed to a consideration of Rs 73 crore as part of an agreement concluded between the firm and OML Entertainment. The transaction will provide partial liquidity to OML Entertainment shareholders, including CA Media. Ajay Nair, MD of OML Entertainment, will join the Nodwin board as part of this transaction and will work with Akshat Rathee, MD of Nodwin Gaming.

“We strongly believe that continuous growth in the IP portfolio is central to building a vibrant ecosystem of fans, talent, broadcasters and brands,” said Akshat Rathee, managing director, Nodwin Gaming. “The proven capability of the brilliant team that joins us from OML Entertainment will further ensure that we can execute and monetise our IPs.”

This acquisition taps into a growing synergy between the two companies. While Nodwin is known for its esports and gaming expertise. OML Entertainment is known for managing some of India’s biggest gaming and entertainment creators such as Tanmay Bhat, Samay Raina and Suhani Shah, well-attended comedy touring properties such as LOLstars and Headliners and  hip-hop league – Breezer Vivid Shuffle. OML Entertainment also works with some of the biggest brands in India to produce well known properties such as the Levi's Music Week and YouTube FanFest.

“It makes a lot of sense to consolidate the strengths that OML Entertainment and Nodwin have in the live IPs and gaming spaces,” said Ajay Nair, managing director, OML Entertainment. “OML Entertainment will continue to focus on building its OTT content production, talent management and branded content businesses.”

This transaction allows Nodwin to massify gaming and esports by tapping into emerging synergies in gaming entertainment that 14–30-year-olds are looking for.

The total revenue of the acquired business of OML Entertainment during FY20 (pre-Covid) was Rs 91 crore with EBITDA of 10 per cent.  OML Entertainment will continue to consolidate its non-gaming creator-driven content and talent management businesses as it scales its OTT offerings and branded content marketing suite of services that currently works with over 700 creators across the world. This business had clocked revenues of Rs 170 crore in FY 2020 and has grown tremendously ever since.