Nazara Technologies is launching its IPO. The public offer comprises of offer for sale of 52.9 lakh equity shares aggregating upto Rs. 583 crores. For more information, you can read the IPO Prospectus filed by the company.
About the company
Nazara Technologies is a leading India based diversified gaming and sports media platform with a presence in India and across emerging and developed global markets such as Africa and North America, with offerings across the interactive gaming, eSports and gamified early learning ecosystems.
The company owns some of the most recognisable IP, including WCC and CarromClash in mobile games, Kiddopia in gamified early learning, Nodwin and Sportskeeda in eSports and eSports media, and Halaplay and Qunami in skill-based, fantasy and trivia games.
Financial Year Ended
Revenue (âš crores)
PAT (âš crores)
EPS (âš)
March 2018
181.94
1.023
1.05
March 2019
186.10
6.713
6.39
March 2020
262.15
-26.615
-0.77
Six months ended September 30 2020
207.01
-10.107
-1.78
Indicative Timetable
Event
Date
Issue Period
17th March 2021 - 19th March 2021
Price Range
âš 1100 - 1101
Minimum Bid Quantity
13 and in multiples thereof
Finalisation of Allotment
24th March 2021
Initiation of Refunds
25th March 2021
Credit of Shares
26th March 2021
Listing Date
30th March 2021
How do I apply for the Nazara Technologies IPO?
You can apply for the Nazara Technologies IPO using any supported UPI app by following two steps:
I donât understand what is so special about Nazara IPO apart from being the âfirst Indian gaming company to launch IPOâ. Maybe that âfirstâ is doing the trick as India is such a âvirginity-obsessedâ country. The numbers are not good for previous years. Revenue vs PAT. Last year due to lockdown, gaming activity increased but is not reflecting on their balance sheet. Nothing remarkable about the content IP. Quality of games is not even at par with EA Sports or PubG. Honestly, itâs bad. Jhunjhunwala seems to use the opportunity of goldrush, and IPO frenzy in share market and make an exit (sell when others are greedy).
If I am missing something, please help me understand.
There is a saying that goes like - you canât teach an old dog new tricks. Nazara is a 22-year old company. Now you see balance sheet again. Strange. May have risen to fame in those idiotic flash games era. Flash as you know died its natural death last year. Those stupid flash games became annoying apps. On the contrary, PUBG released in late 2017 and by 2020 it was the highest-grossing game.
Moreover, the proceeds from the IPO would 100% go into the pockets of the investors. What about growth? Never mind, that never happened in the last 22 years.
@FancyyCosmonautt last but not the least, I heard many saying - oh! itâs backed by jhunjhunwala⌠To all those mimicking this - chill! jhunjhunwala is not going to think, design or code. I donât even think he has the acumen, sharpness, and intellect of being a tech investor. He is no Sean Parker who spotted Facebook and made it big.
Only company in the segment , so will be Fancy!.The business model is not limited to building games but more than that and is diversified into 6 segments https://corp.nazara.com/?page_id=2878
Zero Debt
Potential Growth can be disruptive, they have track record of managing competition well, They have acquired several companies(6) and have been managing things well, all the company have huge subscriber base in abroad operating more than 50 countries!!
Fun fact: For a sense of scale, it took Amazon more than 14 yearsâ58 quarters after its May 1997 initial public offeringâto make , cumulatively, as much profit as it produced in the latest quarter alone. Keep in mind that Amazon consistently lost money for its first several years as a public company, same with TSLA
Potentially, Huge listing gains!!
It will be Volatile Stock for sure
Its creating a unique space of Professional Gaming competitions and shedding out huge prize money.
These type of business models can be disruptive and can be Monopoly niche segment in few quarters.
Todayâs generation are more competitive in virtual space so demography is there
The growth canât be judged via Balance sheet(same type as Amazon,Tesla,Netflix etc.) as business model is disruptive.
Market always rewards disruptive business model and NAZARA could be one potential.
Amazon had sowed the seeds of AWS in just 2 years of starting operations that changed the Internet. And Tesla did so by investing in core technology i.e. battery, computer software and proprietary motor. You canât compare with them.
Yes there would be so in short term. Look beyond when the dust settles.
Yes, Its only because its has survived the business 20 long years!!! and able to capitalize on the idea , there are many examples if you read , long term survival of any business has always taken huge positive by the market even though huge Skepticism. 95% of business closes in 1st 3 years !!!
just need some help here. Applied thru zerodha UPI mandate. Applied once, status went from Apply->modify bid.
After sometime status is again Apply.
Did the same again. Now also status reverted to âApplyâ.
What should be assumed here? application failed/UPI mandate didnt generate? did it get accepted twice?
Ok, I watched it. Still doesnât change my mind. These TV shows are very scripted. Many a time the interviewees are told beforehand what the questions would be and so they can come prepared and so.
When I research a company, I do it in two parts - quantitative analysis and qualitative analysis. The balance sheet, etc takes care of the quantitive analysis but there is something that the numbers canât capture for which I look for what their employees are talking about the company online, where the current employees worked before joining, where they joined after leaving the company (LinkedIn can help). Speaking to a few ex-employees to know the work culture, if possible visit their office premises and speak to the chaiwallah outside their gate. Observe the behavior, listen to their conversations. etc. All this is never captured in balance sheet reports.
Glassdoor review of Nazara below:
salary not given on time.
legacy issues. old-time people. lagging behind the learning curve.
You could sense the work culture. You could find many such examples.
A company is nothing but a group of people coming together to achieve a common objective.
Those who are investing going by mere Rakesh Jhunjhunwalaâs name must remember what happened with A2Z Infra which listed at Rs 400 something and today is valued at Rs 4.
Totally agree with your point , investor should not blindly follow âRakesh Jhunjunwalaâ name and should do there own research for fundamental analysis. I liked your qualitative approach.Thanks
Nazara is a 22-year old company. Now you see balance sheet again. Strange. May have risen to fame in those idiotic flash games era. Flash as you know died its natural death last year. Those stupid flash games became annoying apps. On the contrary, PUBG released in late 2017 and by 2020 it was the highest-grossing game.
