The Board inter alia considered and approved the following business transaction: 1. Consideration of Strategic Expansion into Predictive Gaming Business. 2. Sub-Division/Split of existing ....
Awaiting price reaction for this filing.
Colab Platforms Ltd's board, meeting on April 2, 2025, approved two key items. First, a strategic entry into India's Predictive Gaming market, which has over 50 million users and annual transactions exceeding Rs. 50,000 crore, with the industry projected to generate over Rs. 1,000 crore in revenue in FY25. The company will use a transaction-fee revenue model and compete with players like Real 11, Probo, and MPL Opinio. Second, the board approved a sub-division (stock split) of equity shares from face value Rs. 2 to Re. 1, meaning every 1 existing share will become 2 shares, with paid-up capital moving from 10.2 crore shares to 20.4 crore shares. An Extra Ordinary General Meeting (EOGM) is scheduled for April 28, 2025, to seek shareholder approval. The record date for the split will be announced later, and the company expects completion in about 2 months.
The stock split should improve share liquidity and make the stock more affordable for retail and small investors, though the share price will adjust downward proportionally with no change in total value. The Predictive Gaming expansion opens a new high-growth revenue stream, but execution risk remains as this is a new business vertical for the company.