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The magnetic sublayers introduced by intercalation into the hosttransition-metal dichalcogenide (TMD) are known to produce various magneticstates. The magnetic sublayers and their magnetic ordering strongly modify theelectronic coupling between layers of the host compound. Understanding theroots of this variability is a significant challenge. Here we employ theangle-resolved photoelectron spectroscopy at various photon energies, the {\itab initio} electronic structure calculations, and modeling to address theparticular case of Ni-intercalate, Ni$_{1/3}$NbS$_2$. We find that the bandsaround the Fermi level bear the signature of a strong yet unusual hybridizationbetween NbS$_2$ conduction band states and the Ni 3$d$ orbitals. Thehybridization between metallic NbS$_2$ layers is almost entirely suppressed inthe central part of the Brillouin zone, including the part of the Fermi surfacearound the $\mathrm{\Gamma}$ point. Simultaneously, it gets very pronouncedtowards the zone edges. It is shown that this behavior is the consequence ofthe rather exceptional, {\it symmetry imposed}, spatially strongly varying,{\it zero total} hybridization between relevant Ni magnetic orbitals and theneighboring Nb orbitals that constitute the metallic bands. We also report thepresence of the so-called $\beta$-feature, discovered only recently in twoother magnetic intercalates with very different magnetic orderings. InNi$_{1/3}$NbS$_2$, the feature shows only at particular photon energies,indicating its bulk origin. Common to prior observations, it appears as aseries of very shallow electron pockets at the Fermi level, positioned alongthe edge of the Brillouin zone. Unforeseen by {\it ab initio} electroniccalculations, and its origin still unresolved, the feature appears to be arobust consequence of the intercalation of 2H-NbS$_2$ with magnetic ions.

Intercalation-induced states at the Fermi level and the coupling of intercalated magnetic ions to conducting layers in Ni$_{1/3}$NbS$_2$