Nazara Technologies, a leading gaming and sports media platform in India and other emerging markets, saw its share price rise by 5 percent in the early trade on October 5, 2021. The reason behind this surge was the announcement of its subsidiary NODWIN Gaming acquiring 100 percent stake in PublishME, a game marketing agency based in Turkey and the Middle East.
What is PublishME and Why Did NODWIN Gaming Acquire It?
PublishME is a game marketing agency that offers services such as localization, publishing, marketing, community management, influencer outreach, and PR for game developers and publishers in Turkey and the Middle East. PublishME has worked with some of the leading gaming brands such as Riot Games, Ubisoft, Tencent, and Activision Blizzard.
NODWIN Gaming, a Singapore subsidiary of Nazara Technologies, acquired full control of PublishME for a sum of USD 2 million from its existing shareholders Nazara Technologies Limited and Ozgur Ozalp. NODWIN Gaming is a pioneer in esports and gaming media in India and South Asia, with a presence in Africa and the Middle East as well.
The acquisition of PublishME will help NODWIN Gaming expand its footprint and reach in the fast-growing gaming markets of Turkey and the Middle East. It will also enable NODWIN Gaming to offer its expertise and services to the game developers and publishers in these regions.
Akshat Rathee, Co-Founder and Managing Director of NODWIN Gaming, said :
“This strategic acquisition not only brings in a host of new opportunities but also paves the way for a multitude of fresh possibilities for us as a leading gaming and esports media company.”
About Nazara Technologies
Nazara Technologies is one of the most successful gaming companies in India, with a diversified portfolio of products and services across interactive gaming, esports, ad-tech, and gamified early-learning ecosystems. The company has been on a fundraising spree in the past few months, raising Rs 410 crore from SBI Mutual Fund through equity share issuance and allocating shares worth Rs 100 crore to Zerodha co-founder Nikhil Kamath. The company also got listed on the stock exchanges earlier this year, becoming the first Indian gaming company to do so.
Rekha Jhunjhunwala, wife of ace investor Rakesh Jhunjhunwala, holds a 9.96 percent stake in Nazara Technologies as of June 30, 2021.
Recent Developments in Nazara Technologies Share
The company has executed a share subscription agreement with SBI Funds Management Limited, as asset management company of SBI Mutual Fund with respect to its schemes, namely SBI Multicap Fund, SBI Magnum Global Fund and SBI Technology Opportunities Fund, for the issuance and allotment of 57,42,296 equity shares at a price of Rs 714 per equity share, aggregating to Rs 4,099,999,344 to the proposed allottees, for cash, on a preferential basis(Source : MoneyControl ).
In September, the company was slapped with a show-cause notice and a tax demand of Rs 2.83 crore from the Director General of GST Intelligence (DGGI), Mumbai.
The company’s share price has been fluctuating in the past few months, reflecting the volatility and uncertainty in the gaming industry. However, the company has shown resilience and growth potential in the long term. The acquisition of PublishME is expected to boost its revenue and profitability in the coming quarters.
What are the Future Prospects of Nazara Technologies?
Nazara Technologies is one of the most promising gaming companies in India and abroad. The company has a strong presence in India as well as emerging and global markets like Africa and North America. The company has a loyal user base of over 100 million monthly active users across its various platforms. The company has also invested in several gaming startups such as Halaplay, Sportskeeda, Qunami, and Paper Boat Apps.
The company has a vision to become the leading gaming and sports media platform in the world. The company aims to leverage its expertise and experience in gaming, esports, and gamified learning to create engaging and immersive content for its users. The company also plans to explore new markets and segments, such as casual gaming, fantasy sports, and edutainment.
The company faces some challenges and risks, such as regulatory uncertainties, competitive pressures, technological disruptions, and cyber threats. However, the company has a robust risk management framework and a proactive approach to deal with these issues. The company also has a strong leadership team and a talented workforce that are committed to delivering excellence and innovation.
Nazara Technologies is a stock that investors should keep an eye on, as it has the potential to deliver high returns in the long run. The company is well-positioned to capitalize on the growing demand and opportunities in the gaming industry, both in India and abroad. The company is also constantly evolving and adapting to the changing needs and preferences of its users. The company is a leader in its domain and a pioneer in its field.
Nazara Technologies is not just a gaming company, but a gaming phenomenon.
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