A leading player in interactive gaming and sports media, known for strategic investments and acquisitions, is making headlines with recent corporate moves. The company secured approval to acquire a firm undergoing insolvency, divested a majority stake in a subsidiary to streamline operations, and expanded its intellectual property portfolio through a key acquisition, signalling aggressive growth plans.
Nazara Technologies Limited’s stock, with a market capitalisation of Rs. 9,613 crores, rose to an intraday high of Rs. 1,098.90, up 2.58 percent from its previous closing price of Rs. 1,071.20. Furthermore, the stock over the past year has given a return of 72 percent.
Corporate Actions
Nazara Technologies received approval from the National Company Law Tribunal to acquire Smaaash Entertainment Pvt. Ltd., a firm under insolvency proceedings. Nazara has sold its 94.86 percent stake in its subsidiary, Openplay Technologies, to Moonshine Technology for Rs. 104.34 crore through the issuance of 1.99 lakh Compulsory Convertible Preference Shares (CCPS). Following this transaction, Openplay is no longer a subsidiary of Nazara, and in return, Nazara now holds a 46.07 percent stake in Moonshine along with 4.87 lakh CCPS in the company.
Nazara’s Absolute Sports is acquiring TJRWrestling.net and ITRWrestling.com for $1.25 million (approximately Rs. 10.5 crore) from Titan Insider Digital. The sites, with 1.7 million users and 4.6 million pageviews monthly, earned $722K (approximately Rs. 6.1 crore) in 2024. The deal closes in 45 days.
Financial Highlights
In Q3FY25, the company reported revenue of Rs. 535 crore, marking a robust 67 percent YoY growth from Rs. 320 crore in Q3FY24 and a 68 percent QoQ surge from Rs. 319 crore in Q2FY25. However, net profit declined 53 percent YoY to Rs. 14 crore from Rs. 30 crore in Q3FY24 and dropped 13 percent QoQ from Rs. 16 crore in Q2FY25, indicating margin pressure despite strong topline growth.
The company maintains a strong balance sheet with a low debt-to-equity ratio of 0.06. Its P/E ratio stands at 134, significantly higher than the industry average of 47.8, reflecting premium valuations. Over the last three years, it has delivered an impressive profit CAGR of 81 percent and a sales CAGR of 36 percent, underscoring robust and consistent growth.
Written By Fazal Ul Vahab C H
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