It has been approximately 10 months since the 50th Goods and Services Tax (GST) Council meeting where 28% GST was levied on the total deposit amount of online games. The immediate impact was already felt in many ways which include a steep decline in investments and a reduction in revenue and margins of online gaming companies among others. Amidst this situation, Nazara Technologies, a gaming and esports company announced that it was ranked eighth on the global list of gaming acquirers in a report published by Drake Star Partners’ Global Gaming Report for Q2 2024. Reportedly, Nazara has been ranked above companies including MTG and Atari which finished at ninth and tenth positions respectively.
To be sure, investments have decreased significantly compared to last year. The online gaming industry raised funds worth $19.1 million between January-June this year, reporting a decline of 76.3%, when compared with the same period, during the previous year, when it raised funds worth $80.7 million, reveals data from Tracxn, a data platform. Amidst this turbulent time, Nazara Technologies, an Indian gaming company claims to be on a quest to identify opportunities within gaming, esports, and adtech arenas internationally. Earlier this year, Nazara earmarked $100 million towards mergers and acquisitions (M&A).
Reportedly, the Drake Star Partners’ Global Gaming report is published by Drake Star, a global tech investment bank with a focus on acquisitions & mergers, and corporate finance across various industries and tech industrial sectors. “This is extremely encouraging as Nazara is set for more international acquisitions in 2024. We are honored to be recognized on the global stage. This ranking is not just a win for Nazara but for the entire Indian gaming community. Together, we are making India a global gaming giant to reckon with,” Nitish Mittersain, CEO, founder, Nazara Technologies, said.