Nikhil Kamath, the founder of Zerodha has set a goal to increase his ownership, in Nazara Technologies, a platform that focuses on gaming and sports media. He intends to raise it from 1% to 3.5%. Nazara Technologies is planning to secure funds by issuing equity shares after expanding its authorized share capital.
Nikhil Kamath, the founder of Zerodha, is actively seeking to boost his ownership stake in Nazara Technologies, a prominent mobile gaming and sports media platform. Currently holding around 1 percent of Nazara Technologies, Kamath is engaged in discussions to expand his personal shareholding to 3.5 percent, according to insider sources.
Nazara Technologies has scheduled a board meeting for September 4, during which they will deliberate on raising additional capital. In an official exchange filing dated August 30, the gaming company disclosed its intention to explore fund-raising options by issuing equity shares through a preferential allotment, in line with the provisions of the Companies Act.
This marks the second time in as many months that the company has decided to augment its capital base. In July, the board of directors approved a capital-raising initiative through the issuance of equity shares, which also entailed an increase in the authorized share capital from Rs 30 crore to Rs 50 crore.
In early August, Nazara Technologies unveiled plans to invest up to $500,000 (approximately Rs 4.15 crore) in Snax Games, an Israeli-based gaming entity. This strategic move is part of Nazara’s broader strategy to diversify its portfolio in the gaming and sports media sectors. The investment will be made by Nazara Technologies’ subsidiary in Singapore, with the funds being deployed in one or two installments through a Simple Agreement for Future Equity (SAFE). This agreement will grant Nazara Singapore the option to acquire equity shares in Snax Games at a later date.
The gaming and e-sports segments are experiencing significant growth, driven by increasing internet penetration and heightened interest in gaming activities.
As of 10:15 am, Nazara Technologies’ stock was trading at Rs 777.95 on the National Stock Exchange, reflecting a modest increase of 0.13 percent compared to the previous closing price.
