Online poker platform Spartan Poker has been acquired by a metaverse and gaming tech company OneVerse for an undisclosed amount, as India's real-money gaming industry continues to grapple with the government's 28 percent GST regime.
Founded in 2014 by Amin Rozani, Sameer Rattonsey, and Peter Abraham, Spartan Poker allows users to play poker tournaments online across various formats in both live poker and online poker segments.
The firm claims to have over two million registered users and has clocked revenues of Rs 200 crore in the past two years.
This acquisition comes amid a tumultuous time for India's real-money gaming sector that is facing a series of legal battles and regulatory headwinds that has even raised the question of viability for several companies in the fledgling sector.
In recent months, the sector has seen a wave of layoffs and startups shutting down in the past few months as they try to adjust to the government's new 28 percent GST tax regime.
In August 2023, Spartan Poker had let go 125 people, or 40 percent of its workforce, Moneycontrol had reported.
OneVerse appears to be capitalising on this current environment to snap up more startups in the sector. The company said that it plans to spend $120 million to acquire a few more companies in the next three months, without disclosing any specific details.
"By joining forces with Spartan Poker, we aim to push the boundaries of innovation, delivering unparalleled gaming experiences to our users in India and worldwide" said E. Paul Micheal, CEO of OneVerse Gaming.
Rozani said this acquisition enables them to create "extraordinary" customer gaming experiences together.
The potential for immersive transactions through online gaming makes it a perfect fit for OneVerse's MetaVerse-based gaming platform, said Dhyanesh Sundarmurthy, Co-Head, RMB Capital India, who acted as OneVerse's advisor on the transaction.
"Spartan has a huge user base, with a definite path to profitability...The deal entails the integration of the networks and players on the platform" he said.
Sundarmurthy also mentioned that the deal is a 100 percent buyout and the management team will continue to remain with the company.
Started in 2022 by Prashanth Joshua and Jayanth Tadinada, OneVerse is building a metaverse platform for gamers. It has previously worked on enabling access and discovery of products and experiences through the metaverse.
"The acquisition establishes OneVerse as an innovation hub, blending Spartan's creative talent with OneVerse's technological expertise to drive the next wave of gaming innovations" the company said in a statement. Gamers can expect an expanded portfolio of games that integrate immersive experiences with state-of-the-art technology, it said.
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