Indian Online Fantasy Platforms Go Public amid Rapid Sector Growth

Despite the global economic downturn caused by the COVID-19 pandemic, the Indian digital media and gaming industry is booming.

Home » Indian Online Fantasy Platforms Go Public amid Rapid Sector Growth

Despite the global economic downturn caused by the COVID-19 pandemic, the Indian digital media and gaming industry is booming.

Dream 11 Grows Gradually

Dream Sports is the parent company of Dream11, the online fantasy website that rose to prominence as the Indian Premier League’s official affiliate. Dream11, which has over 100 million Indian users, paid INR 222 crores for the 2020 title sponsorship rights.

According to reports, Dream Sports is the first Indian gaming unicorn (valued at over a billion US dollars). It has raised a number of successful funding rounds; and is currently preparing to list in the United States early next year.

Dream Sports’ valuation hit $2.5 billion in September 2020; when Tiger Global, TPG Tech Adjacencies, and ChrysCapital invested $225 million in its growth. In March 2021, the company raised an additional $400 million from established investors; while also bringing on new tech investors such as TCV, D1 Capital Partners, and Falcon Edge. The gross worth of Dream Sports is actually projected to be $3.6 billion.

Recently, the firm has been evaluating presentations on a possible US listing from major investment banks such as Morgan Stanley, JP Morgan, and Citigroup. Dream Sports is required to use a special purpose acquisition corporation (SPAC), also known as a blank cheque company, to reach US capital markets in a simplified process.

Mandates for initial public offerings (IPOs) have not yet been released. However, there are enough signs that a stock offering could collect up to $1.5 billion more, taking Dream Sports’ overall value to $6 billion.

Online Gaming Companies get Large Investments

Anti-Covid policies, including a sequence of lockdowns implemented since March 2020, have had a negative effect on global economic growth, including the national GDP of India. Beginning in late 2019, the country’s economy began to show signs of slowing, owing to the direct impact of new global trade restrictions and international geopolitical tensions.

Digital entertainment genres, on the other hand, have experienced fast and consistent development, in contrast to the general trend. India’s online gaming industry has grown rapidly in recent years, attracting significant investor interest. Nazara Technologies will be the first gaming firm to be listed on India’s main stock exchanges in 2021. The company is now listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) after a profitable 583 crore initial public offering (IPO) between March 17 and March 19. (BSE).

Nazara Technologies will be the first gaming firm to be listed on India’s main stock exchanges in 2021. The company is now listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) after a profitable 583 crore initial public offering (IPO) between March 17 and March 19. (BSE).

Rising Popularity of Offshore Indian Platforms

PureWin.com and other offshore Indian websites have links to common new entertainment genres. Global digital media pioneers (such as the top online casino sites tested on 7Jackpots) continue to gain traction among Indian consumers.

The gaming industry benefited the most from the lockdown. With the spread of inexpensive smartphones, high-speed 4G broadband, and low-cost data plans; India’s massive young population has been pushing up the numbers.

Digital Entertainment Maintains Growth

According to a recent KPMG survey, India’s media and entertainment (M&E) market will struggle overall in 2020. The segment grew at a slower-than-expected rate of 7.4 percent in a given year. M&E is predicted to decrease in FY21, with common segments such as TV, Film, and Print all taking significant hits.

However, poor results are not uniform. User penetration and participation rate in the digital media and OTT markets have increased by 26% in 2020; resulting in a 26% rise in total sales. Though online gaming has been the real standout star, growing at a whopping 45 percent per year.

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