Nazara To Raise ₹500 Cr Via Preferential Issue
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Gaming major Nazara’s board has approved raising over ₹500 Cr via a preferential issue. The company plans to issue up to 1.92 Cr warrants at an issue price of ₹260, a 12% premium from its closing price of ₹232.35 today.
While promoter Plutus Wealth Management will participate in the round, other investors like Riambel Capital, S Gupta Family Investments, Classic Enterprises and Founders Collective will be investing in the company.
The company intends to use the proceeds from this fundraise to primarily be used to support strategic acquisitions, including the recently announced Bluetile and BestPlay transaction and to accelerate growth across its existing business verticals.
Important to mention that Nazara announced that it has signed definitive agreements to acquire about 50% stakes in Spanish casual gaming studio Bluetile Games and player engagement platform BestPlay Systems for a total of $100.3 Mn last week.
Back then, Nazara said that the acquisition would help it establish a scalable platform for AI-enabled game development, distribution and publishing across its global gaming portfolio.
“This ₹500 Cr fundraise comes at an important phase in Nazara’s journey as we execute on our most ambitious growth initiatives, including the Bluetile and BestPlay acquisition. This fresh capital, combined with our acquisition strategy, positions Nazara to build globally scalable AI-enabled gaming businesses and further strengthen our leadership in the sector,” Nazara MD and CEO Nitish Mittersain said.
Besides powering the aforementioned acquisitions, Nazara also intends to grant a loan of ₹4 Cr to its subsidiary Smaash Entertainment.
The fundraise comes weeks after Morgan Stanley picked up a stake worth about ₹69.2 Cr in the company via a block deal. Its Asia Singapore arm bought 28.85 lakh shares at ₹239.80 apiece. The deal had briefly pushed Nazara’s stock up nearly 4% intraday, even as the stock has been under pressure over the past year.
Nazara plans to use the fresh capital for acquisitions, including Bluetile and BestPlay, and to grow its existing businesses. Nazara completed the acquisition of the insolvency-ridden sports entertainment for ₹125 Cr back in June 2025. Smaaash has been under insolvency proceedings since May 2022 over dues owed to creditors, including the likes of Edelweiss ARC, Yes Bank, SIDBI and Mabella Investment Advisors.
On the financial side, the company returned to profit in Q3 FY26 with a net profit of ₹8.8 Cr, recovering from a loss in the previous quarter. However, revenue fell 24% YoY to ₹406 Cr.
Shares of Nazara ended today’s trading session 3.25% lower at ₹232.35.
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