Investor Maksym Krippa is not a public figure, so his activities are not often reported in the media. However, some of Maksym Krippa actions still attract the attention of journalists and analysts. Especially when it comes to the acquisition of a large real estate property. Recently, it became known that Maksym Krippa bought the Parus business center: why and for what reason?
Changing the type of investment portfolio
In order to understand why the deal to buy the Parus business center by Maksym Krippa is so remarkable, we need to make a small analytical digression. The fact is that experts who have to analyze the actions of investors in the course of their duties tend to believe that Maksym Krippa has been building a sectoral portfolio for a long time.
As you know, there is a fairly large number of types of investment portfolios and styles of portfolio construction. Investors are usually in no hurry to talk about what they do and why, so conclusions can only be drawn based on indirect facts. For Maksym Krippa, they all fit into a logical and coherent picture for a long time: the methodical purchase of assets from one or similar sectors of the economy pointed to the creation of a sectoral portfolio.
First, Maksym Krippa invested in the Maincast esports broadcast studio. Then he turned his attention to the esports organization NAVI. Then, in parallel with increasing investments in both companies, he acquired GSC Game World, a computer game developer. All the steps are quite logical and natural.
And although journalists occasionally tried to scrutinize the deals, they did not find any special newsworthy stories. It is not unusual for an investor to follow the same trajectory for 5-6 years. However, the news of the acquisition of the Parus business center no longer fits into the usual framework: a large real estate object, at first glance, does not correlate with sectoral investment in the esports industry.
Of course, you can use the term "diversification" and calm down. They say that Maksym Krippa simply decided to protect himself from risks and invested part of his funds in an alternative asset. And yes, this motivation is quite reasonable. It should be noted that sectoral portfolios are generally characterized by rather high potential risks, and such a step as diversification is not without meaning. On the other hand, real estate (and even such large ones as the Parus business center) has low liquidity, which makes it not quite attractive as a risk mitigation tool. Add to this the factor of a full-scale war, and there is room for reasonable doubt.
Stability of investment style
Another reason that could theoretically prompt Maksym Krippa to turn his attention to a different type of asset is the need to change his investment strategy and style. As for the reasons that could create such a need, it is difficult to say anything. The portfolio's assets are profitable: the Maincast studio has become a leader in the domestic market over the past year and a half and has earned millions in profit. So there is no apparent reason to change anything.
Moreover, on closer inspection, it becomes clear that there have been no major changes in the investment style. Maksym Krippa has always preferred acyclical investing, paying attention to temporarily difficult assets with good growth potential. He invested in Maincast at the startup stage - the risks were obvious, but the growth potential was good, as practice has shown. The first investment in NAVI was made not at the peak of the organization, but during a period of acute shortage of funds and temporary difficulties. Over the past 5-8 years, GSC Game World has also been going through hard times and often found itself at the center of scandals related to potential bankruptcy or data leaks.
And the Parus business center is not a superfluous link in this chain. Once the first and best skyscraper in Ukraine, in recent years it has become somewhat worn out, lost the lead to two Kyiv skyscrapers and lost its former luster. The facility is in need of modernization and repair. At the same time, Parus has the potential for growth and profitability: a large area of 75,000 square meters, a great location in the center of the capital, on Mechnikova Street, underground parking and the possibility of multifunctional use.
As you can see, the acquisition of the Parus business center is part of Maksym Krippa usual investment scheme, with the only difference being the sector of the economy. But is it really so?
Objectives of investing in Parus Bookmaker
The idea of creating a large hub for beginners and professional esports players has long been in the air. Experts in the esports industry have emphasized the lack of such spaces, and some investors and entrepreneurs have already timidly spoken about their plans to create hubs. None but Maksym Krippa has moved from words to action.
With his arrival, NAVI opened an academy for teaching esports disciplines and training young esportsmen. A high-tech office was also built in the capital and a similar one is planned for Berlin. All of this looks like a projectile approach. That is why some experts have already expressed the opinion that Maksym Krippa bought the Parus business center not so much for diversification purposes as as a launching pad for the creation of an international esports hub.
Assuming that the hypothesis is correct, all questions about the abrupt change in the type of portfolio disappear. In this case, Parus BC can already be seen as a continuation of Maksym Krippa integration into the esports sector.
