Datawrkz, a subsidiary of Nazara Technologies, takes over Space & Time in an acquisition deal.
Nazara Technologies Strengthens Presence in Mobile Gaming and Digital Advertising with Acquisitions
Nazara Technologies, a leading gaming and sports company, has made its third acquisition in the gaming sector within a short span of time. This time, the company has acquired a majority stake in Ad Tech firm Paper Boat Apps, and 100% of Space & Time, an independent growth marketing agency based in the UK [1][4].
The acquisition of Paper Boat Apps is expected to strengthen Nazara's presence in the mobile gaming market, adding popular games like Teen Patti Gold and Ludo King to its portfolio. Ludo King, one of Paper Boat Apps' most successful games, has over 100 million downloads on the Google Play Store [5].
On the other hand, the acquisition of Space & Time is aimed at leveraging the latter’s geographic footprint to expand Datawrkz’s growth marketing solutions primarily within the UK market. This strategic move is driving significant financial growth and operational synergies for Datawrkz, with reported year-over-year (YoY) revenue growth of 313% and EBITDA growth of 283% on a consolidated basis including Space & Time [1].
Geographic Expansion
The acquisition provides Datawrkz direct access to the UK market, enabling expansion beyond its traditional markets [1]. Space & Time, established in 2000, has offices in London, Manchester, Edinburgh, Surrey, and Bournemouth [6].
Revenue and Profitability Boost
Space & Time’s integration increased Datawrkz’s contribution from higher-margin product businesses by 40% YoY, indicating a strong focus on sustainable profitability within its adtech operations [1].
Synergies Across Client Relationships
Combining client bases and offerings opens opportunities to cross-sell and create new market segments, enhancing Datawrkz’s overall service portfolio and client engagement [1]. Space & Time has worked with diverse clients including Taylor Wimpey Plc, Caffe Nero, O2 Retail, Save The Children, and Wolf 1834 [3].
Revenue Recognition Complexity
Space & Time reports revenue as gross or net depending on its role in transactions (principal versus agent), which allows flexibility in handling diverse client contracts and impacts revenue quality metrics [1].
Growth Marketing Capability Enhancement
As an independent growth marketing agency, Space & Time brings in specialized expertise likely strengthening Datawrkz’s digital marketing and adtech capabilities, complementing its product focus [2]. Space & Time is one of a select few Google Premier Partners in the UK [3].
The acquisition cost approximately GBP 4.8 million (~₹52.3 Crore) in cash and stock [1]. Senthil Govindan, CEO and founder of Datawrkz, will join the Space & Time board [4]. The acquisition of Paper Boat Apps is expected to be completed in the third quarter of 2024, subject to regulatory approvals [1].
Chris Jones, Space & Time's chief executive officer, was named in the 'CEO and Leaders' category of the BIMA 100 this year [7]. The collaboration brings together Space & Time's expertise in growth marketing, media, and technology with Datawrkz's strengths in programmatic advertising technology and optimization.
With these acquisitions, Nazara Technologies is positioning itself to become a scaled player in the global digital advertising market [8]. The company's global growth strategy under its parent company Nazara Technologies is fueling record-breaking growth and helping the company win in innovation and technology on a global scale [1][4][5].
References:
[1] Datawrkz Press Release, 2023. [2] Space & Time Website, 2023. [3] Space & Time, 2023. [4] Nazara Technologies Press Release, 2023. [5] Paper Boat Apps Google Play Store, 2023. [6] Space & Time Office Locations, 2023. [7] BIMA 100, 2023. [8] Nazara Technologies Website, 2023.
- The acquisition of Ad Tech firm Paper Boat Apps is anticipated to boost Nazara Technologies' presence in the mobile gaming market, as popular games like Teen Patti Gold and Ludo King are added to their portfolio.
- The acquisition of Space & Time, an independent growth marketing agency, is intended to help Datawrkz leverage its geographic footprint in the UK, expanding its growth marketing solutions and driving significant financial growth and operational synergies.
