Page 137 - RusRPTOct21

in September, reportsEast-West Digital News (EWDN). The group announced it acquired the licensing business of Squalio, an international data technology company, in thealtic states (Estonia, Latvia and Lithuania) andelaruselarus and Estonia. Founded in 1997 in Latvia, Squalio has representative offices in ten countries around the world.
HelloFresh, the Germany-based international meal kit giant, has acquired an “approximately 10% stake” in its Russian counterpart Chefmarket. The amount of this investment (a capital injection) was not disclosed,ut the companies mentioned a “single-digit million euro figure” in their announcement last week, reports East-West Digital News (EWDN). The deal is touted as “a strategic step for HelloFresh to tap into an emerging market with significant growth potential,” as the Russian food market is the fifth largest food market globally, according to Statista.
A new unicorn emerged discreetly earlier this year in the globalized Russian-speaking startup entrepreneur community. InDriver, a ride-hailing app founded in Yakutsk, Siberia,ack in 2012, was valued at $1.23bn as it raised $150mn this past February from leading North American funds, reports East-West Digital News (EWDN). The deal remained undisclosed until the first week of September, when InDriver’s founder Arsen Tomsky shared this information in a Facebook post, as the company is seeking to attract top talents.
Nexters reported its 2Q21 results on 22 September below are the key highlights:
Bookings grew 40% y/y to $154mn thanks to the 43% increase in monthly paying users. As a reminder, this was already disclosed by the company in July. Asia was the fastest-growing region, delivering a growth of 140% y/y inookings that was driven by the increased focus on user acquisition in this geography. Nexters managed to increase bookings on mobile by 27% y/y despite headwinds from the IDFA changes. Desktopookings grew much faster (+81% y/y) thanks to the development of the web version of Nexters’ flagship title Hero Wars.
Investments in user acquisition were at a record high. Adjusted costs and expenses increased 106% y/y to $139mn, primarily due to selling and marketing costs, which were up 193% y/y to $91mn. According to Nexters, the decline in profitability during the quarter (measured asookings net of adjusted costs and expenses) was for the sake of future growth. The company’s net loss stood at $20mn in 2Q21 vs. net income of $10mn in 2Q20, primarily due to increased investments in marketing.
Conversion rates remained broadly flat y/y. Despite aggressive
137 RUSSIA Country Report October 2021 www.intellinews.com