(Yicai) Jan. 20 -- NIP Group, an esports business founded by Mario Ho, the youngest son of the late Macau casino tycoon Stanley Ho, is reportedly partnering with a unit of the Abu Dhabi Investment Office to promote the gaming, media, and entertainment sectors in the capital of the United Arab Emirates.

Under their agreement, ADIO Holdings will provide NIP, which operates two esports brands -- Ninjas in Pyjamas and eStar Gaming -- with around USD40 million to open a global headquarters in Abu Dhabi and use it as a base to expand its business in the Middle East and worldwide, Shanghai Securities News reported recently, citing the competitive gaming company.

NIP, which was set up in 2023 and has offices in Stockholm, Wuhan, and São Paulo, emerged from the merger between Swedish esports organization Ninjas in Pyjamas and Chinese gaming powerhouse ESV5. The company debuted on the US stock market last July, making Ho, then 29, the youngest Asian founder of a Nasdaq-listed company.

Through its tie-up with ADIO, NIP aims to accelerate the development of its esports club, game publishing, event hosting, talent management, and creative studio operations, the report said. At the same time, it will provide professional advice to the government agency on building the UAE's gaming and esports ecosystem, and help with local development from community foundation to professional tournaments.

In the first half of last year, NIP narrowed its net loss almost 60 percent from a year earlier to USD4.7 million, while revenue rose 2 percent to USD39.3 million, according to the company’s interim earnings report. 

NIP’s shares [NASDAQ: NIPG] closed 2.7 percent higher at USD7.13 apiece in New York on Jan. 17. They have fallen about 21 percent since the firm’s Initial public offering.

Editor: Emmi Laine