Rovio, the Finnish company behind the hit game ‘Angry Birds,’ has set the terms for an IPO that would value it around $1 billion.
The mobile gaming company said on Friday that the initial price range for its Helsinki public offering would stand at €10.25 to €11.50 per share, which is equivalent to $12.24 to $13.73 per share.
That gives it a valuation of around $1 billion, which is a far cry from the $2 billion-plus that investors had reportedly hoped for as IPO plans began to take shape.
The company plans to raise €30 million by going public, which it says will be used to pursue its growth strategy, including for potential acquisitions and employee compensation.
Rovio also sees the IPO as an opportunity to get its name out there. “We believe that the contemplated listing will strengthen Rovio’s brand recognition and brand awareness,” said Mika Ihamuotila, chairman of the board.
The company has worked to develop other hit games while also leveraging the smash success of ‘Angry Birds,’ which it turned into a movie last year. Revenue in its latest quarter increased 94% to €86.2 million. Nearly three quarters of that came from its gaming business. However, it also pulled in €24.9 million in licensing revenue, largely from ‘The Angry Birds Movie.’
Rovio plans to trade on the Nasdaq Helsinki — starting with the pre-list on September 29 and then on the official list on October 3 — under the ticker symbol ROVIO.
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