Nazara Technologies saw its shares tank 7% at market open on Monday after it announced that some of its subsidiaries have deposits with the US-based Silicon Valley Bank.

What Happened: The company on Sunday informed the exchanges that its step-down subsidiaries
Kiddopia Inc and Mediawrkz Inc have cash deposits in the troubled SVB. In total the two companies have around $7.75 million or ₹64 crore in deposits.

The company that owns Sportskeeda and Nodwin Gaming saw its shares tank by around 7% as the markets opened for business on Monday. However, the stock recovered soon after that and traded around 1.5% lower in the afternoon hours of trading on Monday.

See Also: ‘3 Idiots’ Fame Drone Company IdeaForge Gears For IPO: Check Details

The video gaming company has also assured investors that it has a healthy cash reserve. “Nazara Group continues to maintain healthy reserves of cash and cash equivalents in excess of INR 600 cr excluding the SVB-impacted funds,” the company said in a statement.

Price Action: Shares of Nazara Technologies traded 1.83% lower at ₹508.30 in the late hours of trading on Monday.

Read Next: Paytm Chief Clarifies Links To Crisis-Hit US Bank Before Investors Begin To Worry