In December 2023, NODWIN inked an agreement with Freaks 4U to offer €3 Mn convertible loan which has now been converted to equity investment
With this, the stakes acquired by NODWIN stands at 13.51%
As a part of this investment, NODWIN will appoint Niels Wolter to the Freaks 4U Gaming advisory board to consult on strategy, operations and
integration, ensuring synergy between the two companies
Nazara Technologies’ esports subsidiary NODWIN Gaming will be investing €8 Mn (around INR 71.8 Cr) in Germany-based marketing services company for gaming and esports, Freaks 4U Gaming GmbH.
This comes days after NODWIN Gaming invested INR 33.26 Cr in Freaks 4U Gaming GmbH via convertible note.
“With its convertible loan agreement of € 3.6 Mn initiated on December 27, 2023 now converted into equity, NODWIN has acquired additional shares of Freaks 4U Gaming with a contribution of € 4.4 Mn. The total investment of NODWIN in Freaks 4U Gaming stands at € 8 Mn for a 13.51% stake in the company. NODWIN also has the option to acquire majority control in the future by swapping equity of Freaks 4U Gaming investors and founders with NODWIN shares,” Nazara said in an exchange filing.
As part of the deal, NODWIN and Freaks 4U Gaming will start utilising resources in each other’s key territories such as personnel, equipment and facilities. While NODWIN will get access to the Freaks 4U Gaming network across the developed markets, the PC ecosystem and the full-service capabilities they have, Freaks 4U Gaming in turn will get access to NODWIN ’s emerging market network, facility capabilities in the mobile esports and youth culture ecosystems, the filing further added.
Besides, NODWIN will rope in special advisory consultant Niels Wolter to the Freaks 4U Gaming’s advisory board to consult on strategy, operations and integration, ensuring synergy between the two companies.
Founded in 2014 by Akshat Rathee and Gautam Virk, NODWIN is an esports and game development company which counts Valorant and PUBG as its portfolio. It claims to have established a global presence in regions such as South Asia, Singapore, the Middle East, and Turkey.
It engages with professional esports athletes, teams and content creators, and is backed by the likes of Nazara, KRAFTON Inc, Sony Group Corporation and JetSynthesys.
Meanwhile, Berlin-based Freaks 4U is a marketing agency focussed on games and esports. From strategic consultancy to online and offline activations, the company claims to deliver state-of-the-art broadcast productions.
Michael Haenisch, CEO of Freaks 4U Gaming, said “Under Rathee’s leadership, NODWIN has become a force to be reckoned with in the emerging market and the global landscape of gaming and esports.”
Rathee said, “Our collaborative journey with Freaks is growing stronger, especially in the realms of PC and mobile gaming. We hold continuous admiration for the team at Freaks as we jointly explore new avenues for cooperation.”
Recently, NODWIN has been on an expansion spree through acquisitions and investments. The latest announcement comes days after the company announced a 100% stake acquisition in Comic Con India for INR 55 Cr ($6 Mn) in a cash and stock deal.
Last year, it acquired a 51% stake in mediatech startup Branded in an all-cash deal worth $1.3 Mn. In April, the esports company also picked up a 35% stake in gaming accessories brand Wings for INR 10.01 Cr. Prior to that, NODWIN acquired a 100% stake in licensed merchandising D2C brand Planet Superheroes in January 2022.
Its parent company also raised a fresh capital of INR 510 Cr from investors including Zerodha’s Nikhil Kamath and SBI Mutual Fund. Speaking to Inc42, CEO Nitish Mittersain had said that the company would invest the fresh funds in gaming studios capable of producing top-tier games tailored for both the Indian and global markets.
