SBI Mutual Fund To Invest INR 410 Cr In Gaming Giant Nazara

SBI Mutual Fund is investing INR 410 Cr in Mumbai-based gaming and sports media giant Nazara. In a stock exchange filing, Nazara said that its board has approved the issue of shares worth INR 410 Cr to SBI Mutual Fund, which would include 57,42,296 equity shares with a face value of INR 4 each, at a price of INR 714 per share.

The funds will be invested via three schemes of SBI Mutual Fund, namely SBI MulScap Fund, SBI Magnum Global Fund and SBI Technology Opportunities Fund.

“Making India the gaming nation of the world has been a long-pursued dream for all of us at Nazara. India’s largest domestic mutual fund investing in Nazara is an important milestone for us in this two decade long journey,” Nitish Mittersain, CEO of Nazara Technologies, said.

This comes close on the heels of the announcement of Zerodha founders Nithin Kamath and Nikhil Kamath investing INR 100 Cr in Nazara Technologies.

The company announced its plan to issue 14,00,560 equity shares with a face value of INR 4 each, priced at INR 714 per share to M/s Kamath Associates and M/s NKSquared managed by Kamath brothers.

The gaming giant had secured board approval to raise up to INR 750 Cr and increase its authorised share capital from INR 30 Cr to INR 50 Cr.

In the financial year 2022-23 (FY23), the company reported a consolidated net profit of INR 61.4 Cr, marking a significant increase, while its revenue from operations grew by 75% year-on-year (YoY) to INR 1,091 Crores during the same period.”

The gaming firm’s profit after tax (PAT) rose 31% YoY to INR 20.9 Cr in the first quarter (Q1) of the financial year 2023-24 (FY24). Nazara’s revenue from operations jumped 14% to INR 254.4 Cr during the quarter under review from INR 223.1 Cr in the year-ago quarter.

Nazara shares were trading at INR 875 at 12:00 pm on BSE.