Krafton buys gaming studio Nautilus Mobile for $14 million

South Korean gaming giant Krafton, known for its mobile game Battlegrounds Mobile India (BGMI), has acquired a controlling stake in Indian game development studio Nautilus Mobile for about $14 million (Rs118 crore). The acquisition is Krafton’s first ever takeover in India.

Under the deal, which was made as an all-cash transaction, Krafton acquired more than 75% of Nautilus Mobile, TechCruch reported.

Founded in 2013 by Anuj Mankar, Nautilus Mobile is known for developing the Real Cricket mobile game franchise, which has more than 350 million downloads.

The company has launched multiple games, including Real Cricket 24, Real Cricket 22, Real Cricket Swipe, Real Cricket GO, and Real Cricket Premier League.

Nautilus was previously acquired by digital entertainment firm JetSynthesys in October 2020, which will continue to have a significant minority stake in the studio.

“As an existing investor in Nautilus Mobile, we have witnessed the company’s impressive growth and its ability to deliver world-class gaming content under JetSynthesys’ leadership. This acquisition is a testament to our long-term vision of making India a global hub for game development,” Krafton India chief executive officer (CEO) Sean Hyunil Sohn said in a statement.

In 2022, Krafton invested $5.4 million in Nautilus Mobile.

With the acquisition, Krafton plans to use Nautilus’s expertise in cricket-themed mobile games and look for opportunities beyond battle royale titles such as BGMI.

The company’s net profit surged by 119.3% year-on-year to about $889 million in 2023, mainly because of BGMI’s success, which crossed 200 million downloads in India.

Nautilus Mobile will continue to operate independently and its 45 employees will stay on its payroll.

The company plans to refine its current titles in the short term and explore new gaming genres in the future.

Krafton has said that its decision to acquire a controlling stake was influenced by its desire to play a more significant role in content development.

Meanwhile, JetSynthesys will continue to team up with Nautilus Mobile on strategically important areas, mainly in e-sports.

Nautilus has previously partnered with Indian Premier League (IPL) teams for its Real Cricket franchise.

Krafton has been actively investing in India, having committed more than $200 million to various Indian startups and gaming-related initiatives.

Nearly 20% of these investments have been in gaming and gaming-adjacent companies.

The company has backed platforms such as Cashfree, Kuku FM, and One Impression, along with gaming-focused funds like Lumikai and IMM Investment’s first India fund.

With the acquisition of Nautilus Mobile, Krafton now operates 15 game studios globally.