New-Age Tech Stocks Fall Amid IPO Rush, FirstCry Biggest Loser This Week

Shares of new-age tech companies declined this week, even as startups continued to line up to list on the bourses. In line with the broader market, 21 out of the 34 new-age tech stocks under Inc42’s coverage fell in a range of a marginal 0.01% to close to 7%.

After rallying significantly last week, shares of FirstCry emerged as the biggest loser, falling 6.75% to end the week at INR 364.65.

Insurtech company Go Digit was the second biggest loser, with its shares crashing 6.29% to end the week at INR 338.20. On Friday (July 4), the company informed the bourses that the Bombay HC has set aside a GST demand notice worth INR 170.3 Cr raised by authorities in Chennai. The HC directed the GST Council to decide the matter afresh and to complete the adjudication within a period of three months.

Meanwhile, Nykaa declined after its early investor Harindarpal Singh Banga offloaded 6 Cr shares of the company via a bulk deal worth INR 1,215 Cr on Thursday (July 3). The stock fell 5.55% to end the week at INR 198.20.

EV maker Ola Electric’s shares continued to bleed this week, hitting an all-time low at INR 40.42 on Thursday.

The Bhavish Aggarwal-led company, which has witnessed a sharp decline in sales in recent months, saw registrations of 18,527 units in June, as per Vahan data as on June 30. This was almost flat compared to 18,541 registrations in May. It was behind Bajaj Auto and TVS Motor in terms of registrations.

Other losers this week included Eternal, Swiggy, BlackBuck, Honasa Consumer, ArisInfra, among others.

Meanwhile, shares of 13 new-age tech companies ended the week in the green, gaining in the range of 0.10% to slightly under 19%. TBO Tek rose the most, with its shares gaining 18.68% to end the week at INR 1,423.35.

Cybersecurity company TAC Infosec emerged as the third largest biggest this week, zooming 6.61% to end the week at INR 1,084.

On Wednesday (July 2), the company said it crossed the 1,000 global customer mark in Q1 FY26, representing a “record-breaking” 100% YoY growth. Amazon, PayPal, Indeed, UNICEF are among some of these clients.

In the list of gainers, fintech SaaS company Zaggle gained on the back of multiple contract wins. After announcing a contract win from DTDC on Tuesday (July 1), Zaggle said on July 3 that it entered into an agreement with Apollo Health. The company’s shares rose 2.18% to end the week at INR 420.25.

Other gainers this week included DroneAcharya, RateGain, Veefin Solutions, Paytm, ideaForge, among others.

The total market cap of the 34 new-age tech companies stood at $90.5 Bn at the end of the week, down over $2 Bn from $92.16 Bn at the end of last week.

Startup IPO Spring Continues Amid A Volatile Market

After new-age tech companies like Pine Labs and Wakefitfiled their IPO papers last week, this week saw Meesho, Curefoodand Shadowfax file their DRHPs. Of these, Meesho and Shadowfax took the confidential route to file their IPO papers.

Meanwhile, coworking space provider Smartworks filed its RHP this week. The company has reduced the size of its fresh issue to INR 445 Cr from INR 550 Cr and halved the OFS component to 33.79 Lakh shares from 67.49 Lakh shares earlier. Its IPO will open on July 10 and close on July 14.

However, after weeks of gains, the market witnessed a mild pullback this week. Sensex and Nifty 50 declined close to 0.7% to end the week at 83,432.89 and 25,461, respectively.

“Indian equities witnessed a phase of profit booking this week, following a sharp rally in recent sessions. Mixed global cues and the impending US tariff deadline have prompted investors to adopt a wait-and-watch approach. FIIs have turned cautious amid elevated market valuations and mixed global cues, while DIIs continue to provide support, helping stabilise sentiment,” said Vinod Nair, head of research at Geojit Investments.

The next week will see market participants keep a close eye on the announcement of the India-US trade deal as the deadline for US president Donald Trump’s tariffs ends on July 9.

Besides, the spotlight will shift to corporate earnings, with IT major TCS and retail giant Avenue Supermarts among the prominent companies scheduled to report their quarterly results next week.

Now, let’s take a look at the performance of Nazara Technologies and Swiggy this week.

Bad Week For Swiggy

Shares of foodtech major Swiggy came under selling pressure this week. The stock plunged 5.80% to end the week at INR 383.55.

With this, the company’s shares have declined close to 7% from its listing price of INR 412 on the BSE.

Here’s a brief recap of developments related to the company this week:

July 1: Swiggy introduced a new offering titled “99 Store” to offer quick-prep dishes offered at a flat price point of INR 99. The company took the offering live simultaneously across 175+ cities, including Bengaluru, Ahmedabad, Kolkata, Hyderabad, Delhi, Pune, Chennai, among others.

July 2: Inc42 reported that Swiggy isshutting down its SaaS service Swiggy Minis by August 10. The company has asked sellers to complete any pending orders, receive the payouts for the orders and “wind things down at your own pace” till then.

July 3: Citigroup sold around 3.2 Lakh shares of the foodtech major at a price of INR 381 per share. BNP Paribas Financial Markets stepped in as the buyer, picking up the entire lot in a single transaction. The total deal value stood at approximately INR 12.2 Cr.

Nazara Touches New Highs On Esports Bets

Shares of gaming major Nazara soared to new highs this week, touching a fresh 52-week high of INR 1,399 on Friday. The stock pared some of the gains to end the week at INR 1,385.5, still up 5.76% week-on-week. With the rally, Nazara’s market capitalisation soared to $1.42 Bn.

Nazara, which has been on an acquisition spree, especially in the esports category, announced this week that it has incorporated esports content platform AFK Gaming as its latest wholly owned subsidiary. The deal, which materialised on July 1, saw Nazara’s subsidiary Nodwin Gaming buy out 92.3% of AFK Gaming for INR 7.6 Cr.

The deal this week followed multiple investment announcements made by Nazara at the end of last week. On June 28 (Saturday), the company announced an investment of INR 8.7 Cr in Singapore-based esports community platform STAN.

The company has been doubling down on its esports play at a time when the craze for such tournaments is on the rise in the country.

The Indian esports market is experiencing rapid growth, and is expected to become a $100 Mn market within 2025. To further capitalise on the growing esports fervour, Nodwin Gaming has partnered with Esports World Cup Foundation (EWCF) to manage media rights sales and distribution across South Asia, including India, Bangladesh, Nepal, and surrounding countries. Under the agreement, it will be responsible for overseeing the media rights strategy for the Esports World Cup (EWC) in the region.

[Edited by: Vinay Rai Kumar]

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