The Securities Exchange Board of India (SEBI) has approved the request to raise funds through Initial Public Offering (IPO) for Deltatech Gaming Ltd. Shares of the company will be listed on the Bombay Stock Exchange and the National Stock Exchange.

The company had filed its prospectus on June 16, 2022 with the SEBI and received the observation letter on September 30. Getting an observation letter from SEBI means a green light for the company’s IPO request.

After filing the prospectus Deltatech had announced, “We wish to inform you that Deltatech Gaming Limited (formerly known as Gaussian Networks Private Limited) (“DGL”), a wholly owned subsidiary of Delta Corp Limited (the “Company”), has filed a draft red herring prospectus dated June 16, 2022 (“DRHP”) with the Securities and Exchange Board of India, for a proposed initial public offering’.

Deltatech Gaming’s IPO consists of a fresh issue of equity shares worth Rs. 300 crore and an Offer for Sale (OFS) of Rs. 250 crore by promoters Delta Corp Ltd., making the IPO size worth Rs. 550 crore. About Rs. 150 crore of the money generated from the issue of new shares is planned for business promotion activities to attract new gamers as well as to retain the existing ones. The major focus appears to be to provide players an enhanced experience and improve the security of their business which can be expensive.

The company is based in Gurugram and has continued to evolve over the years to become one of the largest in the real money gaming arena. For maintaining their existing platform, developing new capabilities and for general corporate purposes another Rs. 50 crore is planned to be spent from the IPO.

Deltatech is the owner of India’s largest online poker website named Adda52 and was founded by Mohit Agarwal and Anuj Gupta in 2011. Apart from Adda52, Deltatech gaming also owns Addagames and Adda52 rummy with both of them having more than 18,00,000 users combined.