Nazara Share Alert! Shares To Get Cheaper, Holdings To Double; Bonus Shares & Stock Split Unlocked

The only publicly listed gaming firm in India, Nazara Technologies, has announced a twofold reward for its shareholders. First, it will divide its Rs 4 face value shares into Rs 2 apiece, and then it will award a 1:1 bonus. With record dates to be announced soon, the action seeks to increase liquidity, make the shares more affordable for retail investors, and reward investors by essentially quadrupling their holdings.

According to Nazara Technologies, the corporate actions are proposed to enhance the liquidity of scrip and to encourage participation of retail investors by making equity shares of the company more affordable.

Nazara Technologies Bonus Shares

The Board of Directors of Nazara Technologies has declared and considered "Issue of bonus equity shares in the ratio of 1:1 i.e., 1 (One) bonus equity share of Rs. 2/- (Rupees Two) each for every 1 (One) equity share of Rs. 2/- (Rupees Two) each fully paid-up held by the shareholders of the Company as on the record date, subject to the approval of shareholders through Postal Ballot. The record date will be intimated separately," said Nazara Technologies in a stock exchange filing.

Approximately 18,52,32,512 equity shares, or bonus shares, will be awarded out of the securities premium account received in cash and the Capital Redemption Reserve as of March 31, 2025. Following the bonus, the company's authorized capital will stay at 40 crore shares of Rs 2 apiece, but its paid-up share capital would double from Rs 18.52 crore to Rs 37.04 crore. As of March 31, 2025, the company has Rs 2,610.05 crore in free reserves and share premium, and the bonus issue action will cost Rs 37.04 crore from reserves.

Nazara Technologies Stock Split

The Board of Directors also considered and approved "Sub-division of 1 (One) equity share of face value of Rs. 4/- (Rupees Four) each fully paid-up into 2 (Two) equity shares of face value of Rs. 2/- (Rupees Two) each fully paid-up," said Nazara Technologies in a regulatory filing.

Following subdivision, the paid-up and subscribed share capital will grow from 9,26,16,256 shares of Rs 4 each to 18,52,32,512 shares of Rs 2 each, while the authorized share capital would increase from 20 crore shares of Rs 4 each to 40 crore shares of Rs 2 each. Subject to the required permissions, the corporate action, which aims to improve liquidity and lower the cost of shares for retail investors, is anticipated to be finished by October 10, 2025, at the latest.

Nazara Technologies Financials

With revenue from operations virtually doubling to Rs 498.8 crore from Rs 250.1 crore in Q1FY25, the firm produced an outstanding performance in Q1FY26, indicating a 99.4% year-on-year (YoY) increase. The company's total expenses hit Rs 451.3 crore in the quarter under review from Rs 225.2 crore posted in the year-ago period.

Although the EBITDA margin substantially dropped to 9.5% from 10%, EBITDA increased 90.4% YoY to Rs 47.4 crore from Rs 24.9 crore. While the company's net profit (PAT) jumped 117.6% YoY to Rs 51.3 crore from Rs 23.6 crore in the same quarter previous year, profit before tax (PBT) grew 58.3% to Rs 54.9 crore during the quarter ended in June 2025.

Nazara Technologies Target Price

"Currently consolidating within a narrow range. A move above ₹1,450 could attract fresh buying interest and push the stock towards ₹1,500. Support lies at ₹1,380, and holding above it will maintain the positive undertone. The short-term trend is neutral-to-positive, awaiting a breakout for directional clarity," commented Riyank Arora, technical analyst at Mehta Equities Ltd.

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