Nazara Technologies Acquires Smaaash Entertainment for ₹126 Crore Under NCLT Plan

10 Jun 2025 , 08:57 AM

Nazara Technologies Ltd, the company started by Nitish Mittersain, has finally acquired Smaaash Entertainment Pvt. Ltd. for a total consideration of ₹126 crore, making the gaming and entertainment company a fully owned subsidiary. The acquisition was completed on June 6 under the IBC (Insolvency and Bankruptcy Code) process, the announcement said.

In the deal, Nazara invested ₹10 crore in the company by way of subscription to 1 crore equity shares at face value of ₹10 each. The company also disbursed an unsecured inter-corporate loan of ₹116 crore to facilitate Smaaash in repaying its debts.

The resolution plan was approved by the Mumbai Bench of the National Company Law Tribunal (NCLT) in May of 2025, allowing Nazara a 100% ownership of Smaaash’s business and assets. The deal signals Nazara’s entry into the location-based entertainment (LBE) space, a category that confluences physical gaming experiences and immersive technology.

This was a ₹126 crore transaction, which took place on an arm’s length basis and therefore does not fall under the category of a related party transaction under regulatory norms, according to Nazara. The company also has a right to convert the ₹116 crore loan into equity based on subsequent strategic decisions, enabling capital structure flexibility.

In line with Nazara’s strategy of consolidating its segment by acquiring interactive gaming companies, the investment is part of Nazara’s growth by acquisition strategy, with an emphasis on mobile gaming and on-ground entertainment.

The acquisition is part of a larger play by Nazara as it expands beyond online gaming, entering the physical entertainment segment and reducing its dependence on online gaming revenue.

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