Nazara Technologies Gets ICICI Securities 'Add' Downgrade; Sees Limited Upside At Current Valuations

In a bull case scenario where the regulatory challenges for Moonshine are resolved, Nazara's stock could re-rate to Rs 1,650.

ICICI Securities

30 Jun 2025, 07:00 AM IST i

<div class="paragraphs"><p>Nazara acquired 47.7% stake in Moonshine Technologies for Rs 8.3 billion and has invested Rs 1.5 billion in convertible preference shares of Moonshine, which would convert into equity at a later stage. </p><p> (Photo source: Freepik)</p></div>

Nazara acquired 47.7% stake in Moonshine Technologies for Rs 8.3 billion and has invested Rs 1.5 billion in convertible preference shares of Moonshine, which would convert into equity at a later stage.

(Photo source: Freepik)

The real-money gaming sector, including PokerBaazi, is currently subject to a 28% GST on player deposits under the revised regime introduced in Oct-23. While Moonshine has optimised its monetisation model to partially absorb the impact without major volume loss, the Supreme Court of India is reviewing the retrospective applicability of this tax, with final hearings concluded in May-25 and a judgment expected soon.