Shares of Nazara Technologies Limited climbed nearly 16% on 15 May, hitting an intraday high of Rs 314 on the NSE, after block deals signaled Zerodha co-founder Nikhil Kamath's entry as a shareholder. The transactions involved 1.82 crore shares at Rs 266 each, totaling Rs 486.10 crore, or about 4.9% of the company's equity. Investors welcomed Kamath's involvement, driving the stock higher amid the firm's recent strong quarterly results.
Block Deals Spark Investor Confidence
Sources indicated Kamath and existing shareholder Axana Estates bought the stake, with founder and Joint MD Nitish Mittersain as the probable seller. Axana Estates, which held 5.4% as of March 2026, expanded its position through these deals. The news broke early in the trading session, propelling shares up sharply once details emerged. By 14:41 pm, the stock traded 11.45% higher at Rs 296.45, reflecting a 20% gain over the past month and 10.41% year to date. The 52-week range spans Rs 215.70 to Rs 363.25.
Strong Q4 Results Fuel Momentum
The block deals followed Nazara's Q4FY26 earnings release, where profit tripled year on year to Rs 46.96 crore from Rs 15.86 crore. EBITDA more than doubled to Rs 74 crore, lifting margins to 18.6% from 6.7%. Revenue fell to Rs 397.78 crore, mainly due to NODWIN Gaming's deconsolidation. Management projects 15-20% organic growth in FY27, with core gaming margins targeting 25% by year-end from 19.5% in the March quarter. These figures underscore Nazara's push into mobile gaming and esports, sectors drawing investor interest in India's digital entertainment landscape.
Implications for Gaming and Fintech Crossover
Kamath's stake signals growing ties between fintech leaders and gaming firms, as platforms like Zerodha expand into adjacent digital spaces. Nazara operates in a competitive Indian market where real-money gaming faces regulatory scrutiny over addiction risks and taxation. Strong earnings and high-profile backing position the company for expansion, though revenue dips highlight consolidation challenges. Investors view such investments as bets on scalable tech-driven entertainment, balancing growth potential against market volatility.
