Nazara Technologies share had a strong start and rallied up to 84 percent intraday but settled with 44.60 percent gains to close at the day's low on March 30.
The stock opened with an 80.7 percent premium at Rs 1,990 compared to the issue price of Rs 1,101 on the National Stock Exchange and immediately hit the day's high of Rs 2,024.90 (up 83.9 percent) but erased some gains to trade at the day's low of 20 percent at Rs 1,592 in the entire afternoon session.
On the BSE, it settled at Rs 1,576.80, up 43.22 percent, over the issue price and down 20 percent from the opening price of Rs 1,971. It touched an intraday high of Rs 2,026.90.
Th share traded with a volume of 74.91 lakh equity shares and 8.37 lakh shares on the BSE.
Rakesh Jhunjhunwala-backed mobile gaming company Nazara Technologies raised Rs 583 crore through its public issue that was subscribed 175.46 times during March 17-19. The company did not receive issue proceeds as it was an offer for sale.
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Nazara is the 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. The company offers platforms across the interactive gaming, eSports and gamified early learning ecosystems.
"There is a possibility of the company surprising positively in terms of revenue growth going forward as online gaming has really taken off in India finally. We remain positive on the growth prospects of the company in the long run and investors who have been allotted shares can hold on to their investments from a long-term perspective," Jyoti Roy, DVP- Equity Strategist at Angel Broking told Moneycontrol.
The company posted a decline of 1.4 percent in topline in FY19 but saw strong revenue growth of 45.9 percent in FY20 at Rs 247.5 crore and Rs 200 crore in the first half of FY21.Disclaimer: The views and investment tips expressed by experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.