FINNISH GAME STUDIO Rovio Entertainment on Monday said it will commence a strategic review and non-binding discussions regarding a potential tender offer for its shares.
The Espoo-based game studio revealed in a press release that its board of directors will initiate the strategic review in response to “expressions of interest” and “indicative non-binding proposals” to acquire its entire share capital.
The board has decided that, as part of the review, it will enter into preliminary non-binding discussions with “certain parties”, including Playtika Holdings, a game studio headquartered in Israel. Playtika on 19 January announced it has made an offer of roughly 750 million euros, or 9.05 euros per share, for Rovio.
The offer represented a roughly 60-per-cent premium on the share value at the time of issue. The Israeli company had made an undisclosed offer worth 8.50 euros per share for the studio in November 2022.
“There can be no assurance that the strategic review and the preliminary non-binding discussions will result in any cash or other tender offer or any other transaction, or the pricing of any such possible transaction,” reads the press release put out on Monday by Rovio. “Rovio will release further information at an appropriate time.”
Shares in Rovio gained roughly 14.5 per cent following the announcement.
Aleksi Teivainen – HT