Blue Star’s Dynasty inks three new partnership deals

Technology investor Blue Star Capital updated the market on its investee Dynasty Gaming & Media on Thursday, reporting that it had secured three additional multi-year partnership agreements with “large-scale” organisations.

The AIM-traded firm said under the first deal with “Malaysia’s leading telecoms operator”, a Dynasty built-and-managed platform was launched to “millions” of potential customers in mid-February, and had already experienced significant registered and paying user traction, despite still being in its preliminary stages.

It said the second partnership was signed with “New Zealand’s largest telco”, with a “dominant market position” and “premium” brand presence.

While Blue Star did not name the partners, Malaysia’s largest fixed-line telecom is the publicly-traded, partially state-owned Telekom Malaysia, while New Zealand’s biggest telco is the publicly traded, former state telephony monopoly Spark.

Finally, the third multi-year agreement was secured with a “market-leading Indian group” that operates within the digital payments, sports, and media industries.

Under the latter agreement, Dynasty’s platform would have access to the 330 million customers of the group, and would see the unveiling of its non-fungible token (NFT) marketplace – now integrated within Dynasty’s platform ecosystem.

Dynasty expected both platforms to launch within the current quarter.

Blue Star said the new partnership agreements contained both fixed licence fees and managed services revenue share.

While Dynasty’s initial commercial model was based on collecting monthly licence fees over a minimum 24-month contract, it said that going forward, all agreements would see Dynasty support its partners with a “genuine managed service solution”.

Dynasty would provide dedicated in-country resources, working with partners in all areas of engagement and monetisation, to help maximise commercial outcomes.

Under the new hybrid model, Dynasty would receive a “significant portion” of all platform revenue generated, in addition to licence fees.

The company reportedly expected that revenue share would contribute more than 85% of its overall revenue mix within the next 12 months.

“It has been an incredibly exciting and productive time for the business,” said Dynasty chief executive officer Matt Lodge.

“The global gaming market was valued at more than £150bn in 2021, and is expected to grow to around £260bn per annum within the next five years.

“There are now more than 2.7 billion gamers globally, with gaming overtaking social media as the largest consumption of screen time in most markets.”

Lodge said Dynasty had invested in “world-class people and technology” during the last year, adding that by enabling its partners to participate within the “booming and hugely valuable” industry to become the default ‘Home of Gamers’, it was “well-positioned” for future growth.

“With regards to a potential listing, we remain open to all options but are not currently tied to any one specific direction or timeline.

“We are continuing ongoing discussions that would potentially provide a different outcome to an IPO.”

At 1232 BST, shares in Blue Star Capital were up 10.56% at 0.49p.