Nazara Technologies Limited has submitted its Monitoring Agency Report for the quarter ended September 30, 2026. The report, issued by CARE Ratings Limited, details the utilization of proceeds from its preferential issue. Key findings include an investment in an Alternative Investment Fund (AIF) which was not explicitly detailed in the offer document, and a reallocation of funds for expansion and growth initiatives.
Monitoring Agency Report Filed for Q2 FY27
Nazara Technologies Limited has filed its Monitoring Agency Report for the quarter that concluded on September 30, 2026. This report, mandated by SEBI regulations, provides an overview of how proceeds from the company’s preferential issue are being utilized.
Key Findings from the Report
The report highlights an investment of ₹1.30 crore in Lumikai Fund II India Advantage Scheme (AIF) during the second quarter of fiscal year 2027 (Q2FY27). While this investment was categorized under “Expansion and Growth,” the report notes that deployment of issue proceeds into an AIF was not specifically detailed in the original offer document.
Additionally, the report addresses the allocation towards “Expansion and Growth,” which saw a revised allocation of ₹355.50 crore. During Q2FY27, the company reported utilization of ₹395.61 crore for this object, exceeding the revised allocation by ₹40.11 crore (11.28%). This excess utilization was ratified by the Board of Directors through a resolution dated November 6, 2026, reallocating funds from ‘General Corporate Purposes’ to ‘Expansion and Growth’.
Financial Status
As of September 30, 2026, the company had a total of ₹0.13 crore unutilized from the funds received, with ₹78.00 crore remaining receivable from one investor.
Other Disclosures
The report also touches upon the company’s standalone net loss of ₹934.97 crore in FY26, primarily due to an impairment loss. Changes in Key Managerial Personnel (KMP) and a high percentage of pledged promoter shares were also noted.
Source: BSE
