Nazara Technologies Aborts Intent to Acquire Additional Shares in Moonshine Technology

Published on August 31, 2025

In a significant move for the Indian online gaming industry, Nazara Technologies has decided to exit the real money gaming (RMG) market in India. This decision comes in the wake of the enactment of the Promotion and Regulation of Online Gaming Act, 2025, which prohibits online real money gaming in India.

Nazara Technologies, a leading player in the Indian gaming industry, has already owned a 46 per cent stake in Moonshine Technology, a gaming company. However, the company has announced that it will not proceed with the purchase of more stake in Moonshine Technology Private Ltd.

The move by Nazara Technologies indicates a major shift in the Indian online gaming industry due to the new regulations. The new regulations have led to a decrease in the number of gaming companies operating in the Indian market, particularly those involved in real money gaming. Other gaming companies like DreamSports, Gameskraft, and Nazara Technologies have also announced their exit from India with regards to real money gaming activities.

Dream11's parent company Dream Sports stated that the ban on real money games would result in a loss of around 95 per cent of the group's revenue. The article does not provide information about Jaiprakash Associates' bidding or its likelihood of going down the wire.

Nazara Technologies entered into an agreement to buy 0.96 per cent stake of Moonshine Technology from I3 Interactive Inc., for approximately ₹15.90 crores. The company has issued a Notice of Termination to I3 Interactive Inc., in accordance with the material adverse effect clause in their agreement.

Nitish Mittersain, the founder and MD of Nazara Technologies, stated that Moonshine will pivot its business into a long-term, sustainable direction. He also mentioned that they will evaluate the potential impairment of their investment in Moonshine. Mittersain stated that Nazara is well-placed to absorb any impact due to its strong revenues, profitability, and cash flows.

The article does not contain any specific stock market updates or recommendations. Nazara reported "nil" contributions to revenue and EBITDA from RMG in Q1FY26 due to not holding a majority stake in Pokerbaazi. The decision was made due to the enactment of the Promotion and Regulation of Online Gaming Act, 2025, which prohibits online real money gaming in India.

It was also reported that Reliance Industries might replace Nazara Technologies to further their stake in Moonshine Technology Private Ltd. However, no official confirmation has been made regarding this matter. The article does not provide information about any new bets Nazara is taking.

In conclusion, Nazara Technologies' decision to exit the real money gaming market in India marks a significant shift in the Indian online gaming industry. The company is focusing on long-term sustainability and evaluating the potential impact of their investment in Moonshine. The new regulations have led to a decrease in the number of gaming companies operating in the Indian market, particularly those involved in real money gaming.

Nazara Technologies Aborts Intent to Acquire Additional Shares in Moonshine Technology