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Gaming and sports media company Nazara Technologies has entered into a share subscription agreement with SBI Funds Management, under its SBI Innovative Opportunities Fund, to raise Rs 220 crore. This is part of a larger Rs 900 crore capital-raising initiative announced last month.

As part of this agreement, Nazara will issue 23.5 lakh equity shares to the fund at a price of Rs 954.27 per share, raising a total of Rs 219.99 crore.

Nazara Technologies will issue 94.3 lakh fully paid-up equity shares at an issue price of Rs 954.27 per share. The equity shares are being offered to identified non-promoter investors, including SBI Innovative Opportunities Fund, Junomoneta Finsol Private Limited, Caratlane founder Mithun Sacheti, and others.

In September, Nikhil Kamath-backed Nazara had announced that it will raise around Rs 900 crore through a preferential issue of equity shares. In total, the company plans to issue 94.3 lakh fully paid-up equity shares to select non-promoter investors. These include SBI Innovative Opportunities Fund, Junomoneta Finsol Private Limited, Caratlane founder Mithun Sacheti, and others.

Part of the funds will be used to acquire an additional 19.35% stake in Absolute Sports Private Limited—the gaming company’s subsidiary which owns the popular sports platform, Sportskeeda.

Nazara will acquire 41,173 equity shares from the current shareholders of Absolute Sports, Porush Jain, and Srinivas Cuddapah, for a total consideration of Rs 145.47 crore.

This acquisition will be partially paid in cash (Rs 72.73 crore) and through a share swap of Nazara’s equity shares (Rs 72.73 crore). Upon completion, Nazara will hold 91.03% of Absolute’s equity capital.