Nazara Technologies acquires 60% stake in Funky Monkeys for ₹43.7 crore

In an exchange filing on Tuesday, the company informed about the allotment of 3.61 lakh equity shares, representing 21.43% of Funky Monkeys' equity share capital, for ₹15 crore.

The company also acquired 6.51 lakh shares, representing 38.57% of Funky Monkeys' equity share capital, from its existing shareholders for ₹28.7 crore.

The company holds a 60% stake in Funky Monkeys with these transactions.

Funky Monkeys has become a subsidiary of Nazara Technologies.

Nazara Tech Q3

Nazara Technologies posted a 53.6% decline in its consolidated net profit to ₹13.68 crore for the quarter ended December 31, 2024. In the year-ago period, the profit was ₹29.52 crore.

Revenue from operations increased 66.8% to ₹534.7 crore in the quarter under review, compared to ₹320.4 crore in the year-ago quarter.

Revenue from Nazara's core Gaming segment advanced by 53% due to strategic acquisitions and strong performance by existing games like Animal Jam.

In Q3 FY25, Nazara raised ₹495 crore via a preferential equity issue to Axana Estates LLP, led by Mithun Sacheti and Arpit Khandelwal. "This capital infusion, combined with Nazara's strong cash reserves, provides the company with financial flexibility to pursue further acquisitions as well as boost organic growth to drive long-term value creation," it said.

Commenting on earnings, Nitish Mittersain, Joint Managing Director and CEO of Nazara Technologies said, "This quarter's performance reflects our continued focus on execution and growth. By expanding our gaming ecosystem, partnering with globally recognized IPs, and driving high-impact acquisitions, we are well-positioned to establish Nazara as a truly global gaming leader from India."

The stock closed 0.66% higher at ₹924.15 apiece on the NSE on Tuesday. In the past three months, it has declined 7.86%, while it has gained 15.95% in the one-year period.