Rovio Entertainment on Tuesday confirmed that it is moving ahead with its rumoured initial public offering.
The Espoo-headquartered game and entertainment studio did not disclose a timetable for the much-anticipated listing, but speculation in the media indicates that the public offering is to be launched by the end of 2017, writes Helsingin Sanomat.
“Have a little patience. We haven’t provided any exact dates and I won’t speculate on them,” Kati Levoranta, the chief executive of Rovio, was quoted as saying yesterday in a press conference by the daily newspaper.
Rovio revealed that the objective of the listing is to increase its strategic flexibility, enhance its brand recognition, gain access to capital markets and expand its ownership base. The game and entertainment studio also said it is planning to raise an additional 30 million euros with a share issue organised in conjunction with the initial public offering.
The shares will be listed on the Helsinki Stock Exchange.
“We’re a Finnish company with a headquarters in Espoo. The Nordics and Finland in general are becoming quite the hub for the games industry. We want to strengthen the industry, create something new and take another step forward,” Levoranta explained according to Helsingin Sanomat.
Rovio, she also highlighted, demonstrated its ability to continue its robust and profitable growth in the second quarter of the year. The game studio reported last month that its second-quarter net sales almost doubled from the previous year, allowing it to post quarterly operating profits of 31 million euros.
Levoranta believes the strong growth is likely to continue due to the performance of the latest titles of Rovio – Angry Birds Evolution, Battle Bay and Angry Birds Match.
Rovio has indeed managed to re-capture its growth momentum after a couple of lean years by re-aligning its strategy to focus on games and taking advantage the interest generated by its successful big-screen debut, The Angry Birds Movie. Helsingin Sanomat points out that the “games-first entertainment studio” derives the majority – almost 80 per cent – of its net sales from games and the remaining fifth from its licensing business.
Aleksi Teivainen – HT
Photo: Heikki Saukkomaa – Lehtikuva