Nazara Tech and Delta Corp Stocks Decline Following Online Gaming Bill Approval

No image 5paisa Capital Ltd - 2 min read

Last Updated: 25th August 2025 - 04:49 pm

Shares of Nazara Technologies and Delta Corp experienced significant declines on August 25, 2025, following the Union Cabinet's approval of the Promotion and Regulation of Online Gaming Bill, 2025. The bill introduces stringent regulations on online gaming platforms, including a potential ban on real-money gaming (RMG), leading to investor concerns and market volatility.

Nazara Technologies Faces Sharp Decline

On August 25, Nazara Technologies' share price fell more than 4%, hitting their lowest intraday price in more than three months and closed at ₹1,108.00. The stock has dropped by approximately 25% during the last five trading sessions, which is a part of a larger decrease. Given the new regulatory climate, investors are concerned about the company's future profit prospects, as seen by its current price-to-earnings (P/E) ratio of around 95.

Delta Corp Also Affected

Delta Corp's share price dropped around 3% to ₹85.35 on the same day. The stock has declined nearly 5% over the past six months and is down around 20% in 2025. The company's involvement in online gaming and casinos positions it directly within the scope of the new legislation, contributing to investor uncertainty and the stock's downward trend.

Implications of the Online Gaming Bill

Online money games where players deposit money in the hopes of winning are prohibited by the Online Gaming Bill. According to analysts, the bill's immediate effects might include the loss of jobs, the demise of startups, and a sharp decline in both local and international investment in the industry. Up to 200,000 jobs are said to be in jeopardy, and there may also be a loss of ₹20,000 crore in tax income and ₹25,000 crore in foreign direct investment.

Market Outlook

The approval of the Online Gaming Bill has introduced a wave of uncertainty in the Indian gaming and entertainment sectors. Investors are closely monitoring the implementation of the bill and its long-term impact on industry dynamics. While some companies may adapt to the new regulatory landscape, others could face significant challenges, affecting their financial performance and stock valuations.

Conclusion

The market's vulnerability to regulatory changes in the online gambling business is highlighted by the recent decline in the stocks of Nazara Technologies and Delta Corp. Stakeholders must continue to be alert and flexible as the industry negotiates the new laws' intricacies in order to reduce possible dangers and seize new possibilities.

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