Nazara Tech buys another 10.26% stake in Absolute Sports for Rs 72.73 crore

Nazara Technologies, a Mumbai-based gaming giant, has strengthened its presence in sports media by acquiring an additional 10.26% stake in Absolute Sports for Rs 72.73 crore.

The move raises Nazara’s total ownership in Absolute Sports to 81.94%, further cementing its position in the growing esports and gaming ecosystem.

Details of the acquisition  

According to the share purchase agreements (SPAs) dated September 18, Nazara planned to acquire 19.35% of Absolute Sports in two tranches.

In the first tranche, Nazara paid Rs 72.73 crore to the founding shareholders, acquiring 21,830 equity shares of Absolute Sports. The remaining amount of Rs 72.73 crore will be paid in the second tranche as outlined in the agreements.

“...the Company, today, i.e., December 26, 2024, has acquired 21,830 equity shares representing 10.26% of the equity share capital of Absolute,” Nazara said in an exchange filing.

With this acquisition, Nazara’s stake in Absolute Sports rises to 81.94% on a fully diluted basis. Absolute Sports, known for operating sports media platforms like Sportskeeda, remains a subsidiary of Nazara Technologies.

Performance of Absolute Sports

Absolute Sports has reported healthy growth for its flagship platform, Sportskeeda, which ranks among the top 10 U.S. sports news websites as of September 30. 

The company’s revenue and EBITDA grew by 22% and 18%, respectively, in the first half of fiscal year 2025 (H1 FY25).

Despite overall progress, the firm noted a short-term dip for Pro Football Network, another property under Absolute Sports. The site saw a temporary decrease in traffic flow during the NFL season kickoff, which impacted its EBITDA. However, Nazara remains optimistic about the platform’s recovery in the coming quarters.

Nazara’s broader business

Nazara operates in three main segments:  

1. Gaming – Contributed 36% to the company’s revenue in H1 FY25.  
2. Esports – Accounted for 57% of revenue in the same period.  
3. Ad-Tech – Supports advertising and marketing services in gaming and esports.

North America remains the largest market for Nazara, contributing 39% of its revenue. India follows with 31%, and the rest of the world accounts for 30% of its earnings in H1 FY25.