On September 1, sources have revealed that Nikhil Kamath, a prominent figure associated with Zerodha, intends to increase his ownership stake in Nazara Technologies, a gaming company. Currently holding a percentage stake in the company, Kamath aims to further acquire a total of 3.5 percent of Nazara Tech’s shares in a personal capacity. Discussions between Kamath and Nazara Tech are underway, with the deal anticipated to reach completion in the near future. This development precedes an upcoming board meeting scheduled for September 4 by Nazara Tech.
As of now, Nazara Tech has refrained from commenting on this matter, dismissing it as “speculation.” Kamath’s interest in enhancing his involvement in the company aligns with his strategic bet on the flourishing gaming industry. His move coincides with projections that the Indian gaming market will experience substantial growth, expanding from $2.8 billion in 2022 to an estimated $5 billion by 2025, showcasing a compound annual growth rate (CAGR) of 28-30 percent.
In terms of market performance, the stock value of Nazara Tech displayed a marginal decline of nearly half a percent, trading at Rs 774.50 on the Bombay Stock Exchange (BSE) around 10:12 a.m. Over the past six months, the company’s stock has demonstrated an impressive surge of 50 percent. In contrast, the benchmark index Sensex has exhibited a relatively modest gain of slightly over nine percent within the same timeframe. Kamath’s decision to augment his stake in Nazara Tech reflects his confidence in the gaming industry’s prospective growth trajectory amidst an evolving Indian market.
