WinZo Marks Close Of Fourth ESOP Buyback

Online gaming startup WinZO has said that it closed the fourth round of its Employee Stock Ownership Plan (ESOP) liquidation.

As per the company, around 30% of the workforce, with at least two years of tenure, will be able to liquidate their vested ESOPs as part of the initiative.

WinZO further said that the buyback is a strategic move to attract and retain top global tech talent, especially in light of the recent steep increase in GST in the gaming industry.

The startup also outlined that the tax hike has caused a sharp decline in foreign direct investment (FDI), impacting the sector’s ability to secure and retain talent.

“By completing our fourth consecutive annual ESOP buyback, WinZO is reaffirming its unwavering commitment to nurturing talent, fostering innovation, and driving growth in the gaming industry,” the company said.

It is pertinent to note that WinZO has completed three previous ESOP liquidations between 2021 and 2023.

This announcement comes on the heels of WinZo registering ao INR 673.94 Cr in the financial year ended March 31, 2023, from INR 233.89 Cr in the previous fiscal year.

Despite this surge in revenue, WinZO’s net loss surged 1.9X to INR 710.15 Cr in FY23 from INR 370.1 Cr in FY22.

On the expansion front, last year the startup was reported to be consolidating its international presence with an investment worth $25 Mn in the Brazilian gaming market.

Founded by Paavan Nanda and Saumya Singh in 2018, WinZO is an online skill-based gaming startup that partners with third-party developers to host games on its mobile-based application. It earns revenue through platform fees charged from users for real-money games.

 

The post appeared first on .