Gaming firm Nazara Technologies to raise Rs 410 cr from SBI Mutual Fund

Company will use investment for growth objectives including strategic acquisitions

Nazara Technologies, a gaming and sports media firm, said on Thursday its board has approved raising funds worth Rs 410 crore by issuing more than 5.7 million equity shares.

“The Company is proposing to issue 57,42,296 Equity Shares at a price of Rs 714/- per Equity Share aggregating to Rs 4,099,999,344/- (“Issue”) to SBI Mutual Fund, by way of preferential issue on private placement basis,” said the company in a regulatory filing with the BSE.

The funds will be invested via three schemes: SBI Multicap Fund, SBI Magnum Global Fund, and SBI Technology Opportunities Fund.

SBI Multicap Fund will invest around Rs 200 crore, SBI Magnum Global Fund around Rs 120 crore, and SBI Technology Opportunities Fund Rs 90 crore.

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“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,” said Nitish Mittersain, chief executive officer of Nazara Technologies.

Nazara will use the funds for growth objectives including strategic acquisitions and investments in various companies.

Nazara’s announcement comes after it recently raised Rs 100 crore from Zerodha co-founder Nikhil Kamath’s two firms: Kamath Associates and NKSquared.

“Highly respected investors backing Nazara makes me very proud of what we have built and I would like to extend a hearty welcome to SBI Mutual Fund,” said Vikash Mittersain, chairman and managing director of Nazara.

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Axis Capital advised Nazara in the transaction.