OneVerse expands its gaming presence with the acquisition of Calling Station and BatBall11

Published on:

OneVerse, a metaverse and gaming technology company, has recently made some acquisitions, to strengthen its position in the Indian gaming market. The company has acquired the online poker platform Calling Station and fantasy sports app BatBall11 as part of its acquisition plan.

OneVerse had earlier acquired online poker platform Spartan Poker in February as a part of its goal of acquiring 13 companies to establish itself as a leading gaming firm in India. With an investment of $120 million allotted for the first phase of acquisitions, including eight firms, and an additional Rs.250 crore allocated for growth capital, OneVerse is preparing for expansion in the gaming sector.

CEO Paul Micheal expressed confidence in the potential of Calling Station and BatBall11. “They (Batball11 and Calling Station) are both efficient companies when it comes to unit economics. They have achieved substantial growth with minimal capital infusion,” he said to MoneyControl. The extensive user bases of all three acquired firms present an opportunity for the integration of networks and players on the platform, facilitating user experiences and market reach.

Dhyanesh Sundarmurthy, Co-Head of RMB Capital India, who advised OneVerse on the deals, mentioned that the terms of the buyout ensure continuity, with the existing management teams of all three firms dedicated to driving growth initiatives forward.

Prashanth Joshua, the founder of OneVerse, spoke about the significance of these acquisitions, particularly in light of the challenges posed by the 28 percent goods and services tax (GST) on player deposits in the real-money gaming (RMG) sector. He noted that partnership is essential to ease the financial pressures faced by RMG companies, allowing for significant cost efficiencies and operational synergies.

Joshua listed the benefits of such collaborations, substantial savings on operational costs such as marketing, salaries, and technology expenses is a key benefit. 20 percent of the revenue of a gaming company is usually spent on operational costs. By consolidating the various companies, they would save around 15 percent of the companies expenses.

By consolidating multiple companies, OneVerse aims to balance the negative impact of GST and access its larger capital pool for growth.

Related