Nikhil Kamath's Big Bet on Gaming Stock: Bought 14,00,560 shares, scrip jumps over 12 per cent!
On Monday, shares of the company surged by more than 12 per cent and traded on its new 52-week high of Rs 853.80.
Nazara Technologies Ltd is India's sole listed gaming and esports company, with a strong presence in India, the US, and global markets. They own leading gaming and esports brands such as Nodwin, PublishME, Sportskeeda, and Pro Football Network. Their portfolio includes popular products like Kiddopia, Animal Jam, World Cricket Championship, and Classic Rummy. They also manage a range of casual games through telco partnerships and operate Datawrkz, a digital adtech company.
On September 4, 2023, Nazara Technologies Limited, announced its board's approval for a preferential allotment of equity shares to raise up to Rs 100 crore. This move is subject to approval from the company's shareholders and relevant regulatory authorities.
The company intends to issue 14,00,560 equity shares with a face value of Rs 4 each at a price of Rs 714 per equity share, totalling to Rs 999,999,840. These shares will be allotted to Kamath Associates and NKSquared. According to SEBI regulations, these equity shares will be locked in for a period of 6 months from the date of issue.
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The capital infusion will be used to meet the funding needs and growth objectives of Nazara Technologies. This includes strategic acquisitions and investments in various companies, meeting growth requirements across its subsidiaries, associates, and joint ventures.
Commenting on the investment in Nazara, Nikhil Kamath, Partner of Kamath Associates & NKSquared said “Gaming in India is poised for strong growth in the years to come and Nazara has built a well-diversified, profitable gaming platform well suited to take advantage of opportunities in the years ahead.”
On Monday, shares of the company surged by more than 12 per cent and traded on its new 52-week high of Rs 853.80. Additionally, the scrip had a spurt in volume by more than 6.91 times.
Investors should keep a close eye on this buzzing stock.
Disclaimer: The article is for informational purposes only and not investment advice.