Nazara Technologies Sees Share Price Surge Following NCLT Acquisition Approval
In an exciting development for investors, Nazara Technologies experienced a notable uptick in its share price during the morning trading session on Thursday, May 8. The rise followed the announcement that the National Company Law Tribunal (NCLT) in Mumbai granted approval for the acquisition of Smaaash Entertainment Private Limited. The stock reached intraday highs of ₹1103.70, reflecting an impressive gain of nearly 3%.
Acquisition Approval Boosts Investor Confidence
Nazara Technologies officially notified the National Stock Exchange of India and the Bombay Stock Exchange about the approval of its resolution plan for acquiring Smaaash Entertainment, a company currently undergoing insolvency proceedings. The NCLT’s order, issued on May 7, 2025, confirmed the plan’s acceptance, although it includes some modifications concerning the effective date.
- Key Details:
- Approval date: May 7, 2025
- Target company: Smaaash Entertainment Private Limited
- Status: Under Corporate Insolvency Resolution Process
Additional Corporate Developments
Apart from the acquisition news, Nazara Technologies provided updates regarding its subsidiary, Openplay Technologies Private Limited. Earlier, the company had disclosed a Share Purchase Agreement (SPA) dated March 7, 2025. This agreement involved the sale of 11,105 equity shares, which equates to a 94.86% stake in Openplay, to Moonshine Technology Private Limited.
- Transaction Highlights:
- Sale completion date: May 7, 2025
- Stake sold: 94.86% (11,105 shares)
- Sale proceeds: ₹104.34 crore through 1,99,890 Compulsory Convertible Preference Shares
Upon finalizing this transaction, Openplay transitioned from being a subsidiary of Nazara Technologies to that of Moonshine. Nazara now retains a 46.07% equity holding in Openplay and possesses 4,87,266 Compulsorily Convertible Preference Shares (CCPS) in Moonshine.
Stock Performance Insights
On Thursday, Nazara Technologies opened at ₹1073.00 on the BSE, showing a stable start compared to the previous closure of ₹1073.40. Following the acquisition news, the stock climbed to reach an intraday high of ₹1103.70, marking a 3% increase.
In summary, Nazara Technologies’ recent acquisition approval and strategic moves concerning its subsidiaries have significantly influenced its stock performance, reflecting a positive outlook among investors. Keep an eye on this dynamic company as it continues to evolve in the competitive tech landscape.
