Lenders approve Nazara’s resolution plan to buy Smaaash

MUMBAI: City-based listed mobile gaming company Nazara Technlogies has been declared the successful bidder through the resolution process to acquire Sachin Tendulkar-backed Smaaash Entertainment (SEPL). The lenders have been offered a recovery of 15% on their total dues of Rs 452 crore, said people familiar with the matter.

Nazara’s resolution plan received 99% of the creditors’ vote in a process which was completed earlier this week. The second bidder-a consortium of financial services firm Resurgent India and Sanjay Lodha-did not increase its offer during negotiations with lenders, people cited above said.

The offer comes to about ?67 crore and is close to the fair value of the company.

ET could not ascertain the exact offer by Nazara, which has confirmed its selection as the successful resolution applicant in a stock market filing.

Creditors led by Edelweiss ARC have been third time lucky, finally completing the process which started in December 2023 after the previous two rounds were scrapped due to litigation by the previous promoter and other complications.

“Voting was completed earlier this week and resolution professional (RP) Bhrugesh Amin has already filed for NCLT approval. Nazara has 30 days to pay the money after the NCLT approval,” said a person familiar with the process said.

Amin did not reply to an email seeking comment.

Amin has listed gaming machines, go-kart, bowling alleys and other entertainment devices spread across 13 centres as assets.

Shripal Morakhia-promoted Smaaash owes creditors led by Edelweiss ARC about ?452 crore. Other lenders to the company are Yes Bank, Sidbi and Mabella Investment Advisors, also an Edelweiss Group entity. It was admitted to bankruptcy in May 2022.