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WARSAW, Jan 19 (Reuters) – Mobile games developer Huuuge Inc. plans to raise up to $150 million from a new share issue and its current shareholders could sell shares worth a similar amount, the company’s founder and chief executive told Reuters.
The company had said on Monday it expected to raise up to $150 million from a new share issue as part of its planned initial public offering (IPO) in Warsaw.
“WSE is one of the most active gaming public stock exchange on the globe. I could not find a better place for Huuuge for the next chapter,” CEO Anton Gauffin told Reuters.
“The offering itself is a hybrid of primary and secondary. The primary portion is up to approximately 150 million dollars and the secondary shares is an approximate same amount…,” Gauffin also said.
Huuuge, which employs more than 400 people in Poland, joins a list of companies that have targeted IPOs as coronavirus lockdowns prompt more people to go online for entertainment, shopping and other needs.
The company plans to use the IPO proceeds for potential acquisitions and investment.
“Last year we did three acquisitions. I hope that in 2021 we will see even more action,” the CEO said.
The group said it generated revenue of $244 million for the nine months to Sept. 30, 2020 compared with $187 million in the same period of 2019.
Adjusted EBITDA, or earnings before interest, tax, depreciation and amortisation, rose to $54.2 million from $9.3 million a year earlier.
“Q4 was very good for us and December was actually our best month ever, so all in all 2020 was great,” Gauffin said.
“I think that 9 months numbers clearly are giving kind of an indication of what to expect for the whole year in terms of revenues.”
Reporting by Anna Koper; Editing by Jane Merriman