Nazara to acquire 10.77% stake in influencer platform Kofluence

Gaming firm Nazara Technologies on Wednesday revealed that its board has approved a 10.77% stake acquisition in influencer marketing platform Kofluence.

"Pursuant to share swap transaction, the Company is proposing to issue 3,71,637 Equity Shares at a price of Rs. 872.15/- per Equity Share aggregating to Rs. 32,41,23,210 (Rupees Thirty-Two Crores, Forty-One Thousand lakhs, Twenty-Three thousand, two hundred and nine only) (“Issue”) by way of preferential issue on private placement basis to the Sellers," it said in a statement.

The stake acquisition is expected to help Nazara develop an influencer-led game discovery platform. The gaming firm will use influencers to promote Nazara's games on various social media platforms.

Influencers can also tailor their content to match the audience's preferences, creating buzz around new releases and driving downloads, the company said in a statement.

"Our goal is to create an environment where gaming collaborates with the creativity of influencers, enriching the gaming experience for a global audience. Our new game publishing initiative ‘Nazara Publishing’ will particularly benefit from this new initiative," said Nitish Mittersain, Joint Managing Director and CEO of Nazara Games.

Bengaluru-based Kofluence has just over 600,000 creators on Instagram, YouTube, Facebook, LinkedIn, and X (formerly Twitter). Founded in 2019 by Sreeram Reddy Vanga and Ritesh Ujjwal, the adtech platform caters to users across various relevant performance metrics.

To date, the startup has raised $4 million from marquee angel investors, including Sujeet Kumar, Aprameya Radhakrishnan, and Kunal Shah.

In an exclusive interview last year with YourStory, Mittersain said the company would attempt to close at least three deals related to its newly launched publishing vertical.