Nazara Invests INR 4.74 Cr In Global Gaming VC Funds

Gaming major Nazara Technologies has invested INR 4.74 Cr in two international gaming VC funds.

In an exchange filing, the company said that it has infused $300K (about INR 2.6 Cr) in Play Venture Fund III and $250K (about INR 2.14 Cr) in F4 Venture Fund I. 

Notably, both the funds are focussed on early-stage gaming startups. Nazara made the investment as a limited partner. 

The investment comes over a year after Nazara’s board, in May 2024, gave its in-principle approval for investing up to $2 Mn (about INR 16.6 Cr) in Play Venture Fund III and up to $250K (about INR 2.1 Cr) in F4 Venture Fund I. 

“Both funds are recognised as leading global venture capital funds in the gaming sector. These investments will be allocated over a period of 3 to 4 years,” the company said then.  

Singapore-based Play Ventures invests from pre-seed to Series A game studios, apps, and tools. Its $140 Mn Fund III targets mobile games, AI-powered tools, and gaming infrastructure. The VC firm counts early stage startups like Defi Alliance, Cypher and M League in its portfolio.

Meanwhile, US-based F4 Fund was started in 2023 by gaming veterans David Kaye and Joakim Achren. It backs founders from the gaming world building ventures in gaming, AI, SaaS, social, and consumer tech. It invests in startups across the world, including the US and the UAE, in seed to Series B stages. The VC firm counts early stage startups like Noice, Baby.ai and After Hour in its portfolio.

The development came a day after Nazara said that its subsidiary Nodwin Gaming has extended the timeline to acquire a 92.3% stake in esports content platform AFK Gaming. The INR 7.58 Cr deal is now expected to close by July 30, 2025.

On the same day, Nazara said it would not exercise a call option to acquire an additional 1% stake in Moonshine Technology (MTPL), citing its existing significant holding, 46.07% equity and 4.87 Lakh CCPS in the startup. 

Nazara, which has been on an acquisition spree over the last year or so, recently completed the acquisition of insolvency-ridden sports entertainment startup Smaaash Entertainment.

On the financial front, Nazara reported a sharp 53% quarter-on-quarter (QoQ) drop in its consolidated profit to INR 4.1 Cr in Q4 FY25. Similarly, for the full year FY25, Nazara’s profit fell 32% YoY to INR 51 Cr. Operating revenue grew 43% YoY to INR 1,623.9 Cr in FY25.

Heavy marketing spends by PokerBaazi, operated by Nazara’s associate Moonshine Technologies, dragged down profitability in the real money gaming vertical. 

Shares of Nazara ended yesterday’s trading session 0.34% higher at INR 1,320 on the BSE.