Online Gaming Bill: Nazara clarifies no direct RMG exposure after Centre’s online gaming move
Nazara Technologies has an "indirect" exposure through its 46.07% stake in Moonshine Technologies Private Limited, the parent of PokerBaazi.
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Nazara Technologies Limited on Wednesday issued a clarification on its gaming portfolio after the Centre notified video games as a separate category from real money gaming (RMG).
The company, backed by marquee investors, said it has no direct exposure to RMG businesses. Referring to its Q1 FY26 results, Nazara highlighted that the contribution and EBITDA from RMG were nil.
However, the company acknowledged "indirect" exposure through its 46.07% stake in Moonshine Technologies Private Limited, the parent of PokerBaazi. “Since Nazara neither holds a majority stake nor exercises control, Moonshine’s revenue is not consolidated in our financials. Its share of profit and loss has in fact been negative for Q1 FY26,” the company stated in a stock exchange filing.
Nazara has so far invested Rs 805 crore in Moonshine via equity (cash and stock) and holds compulsory convertible shares worth Rs 255 crore.
Following the clarification, shares of Nazara Technologies fell 6.19% in early trade, slipping to Rs 1,313.10 at 10 am on Wednesday.
On Tuesday, Union Government approved the Online Gaming Bill aimed at regulating online betting and money gaming platforms. The legislation, which is expected to be tabled in the Lok Sabha on Wednesday, seeks to bring tighter controls on gaming applications, endorsements, and impose penalties and punishments for violations.
The move comes amid a surge in cases of fraud linked to online betting apps and growing concerns over celebrity and influencer endorsements of such platforms. Over the past few months, investigating agencies have intensified their scrutiny of the industry, particularly offshore entities operating without compliance.
The new Bill is expected to provide a legal framework for regulating online money gaming in India, ensuring stricter oversight of endorsements, financial transactions, and consumer protection.
