Nazara Technologies IPO opening next week – Grey market premium looking strong

Marketing trends are increasing in India since the start of 2021. Thus, many companies have come out with initial public offerings (IPO). As many as five companies are set to come out with their respective IPOs in the coming week. Among them is Nazara technologies. Let us have a look at the company first.

About company

Nazara Technologies is a leading diversified gaming platform in India. Apart from the home country, they have ventured their business into Africa and North America as well. They currently offer interactive gaming, eSports, and gamified early learning systems.

Nazara Technologies is famous for its games on cricket such as World Cricket Championship. Moreover, they are also famous for their games on Chota Bheem and Motu Patlu series. Their games are very popular among the young generation of India. Nazara was among the first companies which entered the eSports market in India. Presently, they are the gaming giant in the country.

Rakesh Jhunjhunwala, a leading entrepreneur and investor, backs Nazara technologies due to the huge gaming market in India. Moreover, Rakesh Jhunjhunwala owns 11% shares of this company.


Nazara technologies IPO will open on the 17th of March, 2021. The price per equity share is at INR 1100 to 1101 with a face value of Rs. 4. The bids can be made at a minimum of 13 shares. After that, the investors have to buy at the multiples of 13. If the investors are opting for the base price, they will have to buy shares worth INR 14,313.

A portion of the issue will also be set aside for its employees as well. The employees of the firm will be eligible for the discount of INR 110 per equity share. After that, 75% of the shares will be allocated for the Qualified Institutional Buyers (QIB). 15% of the shares will be reserved for Non-institutional investors while only a small percentage of 10% will be for retail investors.

Nazara technologies aim to raise to 600 crores in this public issue. The issue will close on the 17th of March, 2021.

Grey market performance great

When looking into the grey market, Nazara technologies shares have obtained a strong position. In February, their shares were already trading at around INR 1060 even before the offering. It is because India is becoming one of the tech giants of the world. More and more people are investing in the gaming sector. They are well aware that the eSports sector will be on the rise in India in the years to come. Nazara technologies’ profit is increasing exponentially since 2017. In 2018 and 2019, the company made profits of 1 crore and 6.7 crores respectively.

Although, the trend is not completely shifted towards eSports at this point but continuous advancements in technologies and gaming will make it possible soon. That is why Nazara technologies is in a leading position in India’s gaming sector and can also command a premium valuation in the years to come.

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