Rovio Entertainment, the Finnish mobile game and animation studio behind Angry Birds, has confirmed its intention to go ahead with its expected initial public offering (IPO). The company will be listed on the Nasdaq Helsinki stock exchange.
The IPO is expected to include the sale of secondary shares from its largest shareholder Trema International Holdings, along with certain other shareholders. Rovio plans to raise around €30m (£28m), with shares expected to be offered to private individuals and firms in Finland, Sweden and Demark, along with investors in Finland and internationally. The company declined to put an estimate on the value of the company, or give a date as to when the IPO would be occurring.
The money made would help the company to grow, give it access to capital markets and broaden its ownership base, says Rovio. It also aims to use the IPO to strengthen its brand recognition and use the money raised to seek out potential acquisitions.
“We believe Rovio is well positioned to succeed in the growing mobile gaming market and see a bright future ahead of the Company,” said Mika Ihamuotila, chairman of Rovio’s board of directors. “The contemplated IPO and listing will offer new shareholders an opportunity to participate in Rovio’s success.”
Earlier this year, Rovio sold of its TV animation studio, book publishing business and some non-Angry Birds properties to Kaiken Entertainment, and let almost 10 per cent of its workforce go back in February.
Rovio has struggled to diversify its offering, and only really has Angry Birds going for it. Of course, that franchise has birthed several mobile games, a movie – with a sequel on the way in 2019 – and tons of merchandise, but those picking up shares in the company may have their reservations about what more the company can offer.
“I am confident in our games-first strategy. The contemplated IPO and listing are an important milestone in developing Rovio into an even stronger games-first entertainment company,” said Kati Levoranta, CEO of Rovio.
The Angry Birds game has been downloaded more than 3.7bn times, while the first Angry Birds Movie grossed around $350m worldwide in 2016. The other games in its collection are just different themed versions of Angry Birds and Battle Bay. So, the problem is clear for all to see.