Nazara Technologies Plans to Raise Rs 750 Crore through Equity Issue

• ByStartupStory     |    July 11, 2023

Mumbai-based gaming firm Nazara Technologies has announced its intention to raise Rs 750 crore through an equity issue and other equity-linked instruments or securities. The company’s board of directors approved the fundraising proposal, as stated in its filing with the exchanges. The filing mentioned that the funds would be raised by issuing a specific number of equity shares with a face value of Rs 4 each, not exceeding the aggregate amount of Rs 750 crore. Additionally, the board also approved increasing the company’s share capital from Rs 30 crore to Rs 50 crore.

This marks the first fundraising activity for Nazara Technologies since its initial public offering (IPO) in 2021. The news of the fundraise resulted in a brief surge in the company’s stock during early trading. While the specific utilization of the fresh funds has not been disclosed, reports suggest that Nazara Technologies may allocate the funds towards its ongoing acquisition endeavors.

Earlier this year, Nazara Technologies acquired Pro Football Network, a digital platform that tracks the National Football League (NFL) in the United States, for $1.82 million. The acquisition provided Nazara’s subsidiary, Absolute Sports, with a 73.3% stake in the company. Subsequently, in May, Nazara Technologies increased its majority stake in mobile games maker Nextwave Multimedia from 52.38% to 71.88%.

As of now, the shares of Nazara Technologies are priced at Rs 723.50 per share. The purpose behind the equity raise reflects the company’s continued growth aspirations and strategic expansion plans in the gaming industry.

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