Rekha Jhunjhunwala Offloads 30 Lakh Shares Of Nazara

SUMMARY

Rekha Jhunjhunwala, wife of late billionaire investor Rakesh Jhunjhunwala, sold 29.75 Lakh shares of gaming major Nazara in the month of June till now for about INR 379.6 Cr

With this, the stake of Jhunjhunwala, who is the executor of the estate of late Rakesh Jhunjhunwala, in Nazara declined to 3.7% from 7.1% at the end of the March quarter

Shares of Nazara have been on an upswing this year and have gained 26% year to date

Rekha Jhunjhunwala, wife of late billionaire investor Rakesh Jhunjhunwala, sold 29.75 Lakh shares of gaming major Nazara Technologies in the month of June till now.

While she offloaded 13.1 Lakh shares between June 2 and 5, she sold 4.3 Lakh shares on June 6. She further dumped 12.4 Lakh shares between June 9 and 10. All the transactions were made via open market deals.

With this, the stake of Jhunjhunwala, who is the executor of the estate of late Rakesh Jhunjhunwala, in Nazara declined to 3.7% from 7.1% at the end of the March quarter.

Shares of Nazara ended today’s trading session 0.5% higher at INR 1,273.85 on the BSE. As per this price, the offloaded shares were worth INR 379.6 Cr.

In its filing with the exchanges, the company notified that the estate of the late Rakesh Jhunjhunwala sold and gifted a total of 17.2 Lakh shares, or about 2% stake, of Nazara between March 30, 2021 and June 5, 2025.

“On June 6, 2025 they sold further 4.3 Lakh shares or 0.5% thereby resulting in total change of 2.5% since the last disclosure made on March 30, 2021,” the filing read.

Notably, the ace investor purchased 33.9 Lakh shares, or 10.8% stake, of Nazara on March 25, 2021. Since then, his shareholding has now dipped to 3.7%. This was the only investment in a new-age tech company by Jhunjhunwala, whose portfolio includes the likes of Tata Communications, Titan Company, Star Health, Federal Bank, among others.

The stake sale comes at a time when Nazara is seeing a significant shift in its shareholding.

Last month, the CCI approved Axana Estates LLP, Plutus Wealth Management LLP and Junomoneta Finsol’s proposal to acquire a 26% stake in the gaming major. The open offer will see the acquirers buy 2.4 Cr shares of the company at INR 990 apiece, translating to INR 2,384.2 Cr.

Axana Estates LLP is owned by Arpit Khandelwal (owns 7.87% stake in Nazara), CaratLane founder Mithun Sacheti and his brother Siddharth Sacheti. Khandelwal is the founder and managing partner of Plutus Wealth Management LLP. Khandelwal and Plutus Investments hold stakes in Junomoneta, which already owned 1.8% stake in Nazara at the end of March quarter.

Shares of Nazara have been on an upswing this year and have gained 26% year to date. The market cap of the company stood at $1.31 Bn at the end of today’s trading session.

Multiple factors have led to a renewed investor optimism for Nazara, which saw the company’s shares soar to a fresh 52-week high of INR 1,325 on May 25. The key factor among these is the company’s recent acquisition spree. Nazara has acquired businesses like Pokerbaazi, Kiddopia, Smaaash, among others, in the past year.

Despite the aggressive acquisitions, Nazara managed to maintain profitability in the fiscal year FY25. For the full fiscal year, Nazara’s profit declined 32% to INR 51 Cr from INR 74.8 Cr in the previous year. Meanwhile, operating revenue rose 43% YoY to INR 1,623.9 Cr.

However, brokerage firm Prabhudas Lilladher doesn’t foresee a substantial improvement in the company’s bottom line in the near future. Shortly after its Q4 disclosure, the brokerage downgraded Nazara’s shares to ‘HOLD’ rating from ‘BUY’ and revised the target price to INR 1,241.

“We cut our PAT estimates by 15% for FY26E as we re-align our depreciation forecast & profitability assumptions for Nodwin and downgrade Nazara to a HOLD (earlier BUY) with a revised TP of INR 1,241 amid 26% rise in stock price over the last 1 month,” the brokerage said in a note on May 27.