IGG floats on HKEx, raising $90 million for growth and acquisitions

Four mobile games to launch in Q4 2013

IGG floats on HKEx, raising $90 million for growth and acquisitions

Publisher IGG (I Got Games) has floated on the Growth Enterprise Market of the Hong Kong stock exchange.

It will trade under the ticket HKG: 8002.

The company placed its shares at HK$2.80, raising around $90 million (HK$586.3 million) post underwriting costs and expenses, and valuing it at an initial market capitalisation of $470 million.

A key investor was Hong Kong investor Dynam, which bought stock worth $15 million, with a lock-up period of six months.

Headquartered in Singapore, IGG also has offices in the US, China and the Philippines.

Rocket man

"We believe that the company is well positioned to capture the huge market opportunities in the booming global mobile games industry," said COO Yuan Xu.

"Looking ahead, we will strive to expand and diversify our in-house developed game portfolio, enhance our operational efficiency and continue to enhance the promotion effectiveness riding on different promotional platforms.

"We will also seek potential acquisitions or out-sourcing opportunities to fuel IGG's rise to become one of the leading mobile game operators in the world."

The right path

Over the past two years, IGG has seen rapid growth. For the year ending 31 December 2012, annual revenue was $42 million, up 39 percent year-on-year.

Profit was $7.2 million, up 150 percent.

For the five month period, ending 31 May 2014, revenue was $24 million, up 43 percent.

Profits were $5.9 million, up 35 percent.

Clans of clones

Operating client, browser and mobile games with 9.3 million monthly active players across all platforms and games, one of IGG's recent successes has been mobile strategy Castle Clash, which has been a top 10 top grossing game in 32 countries.

Indeed, more than 80 percent of its R&D resources are currently being spent on mobile games, with six new titles expected to launch in 2013.

[source: IGG IR]

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A Pocket Gamer co-founder, Jon is Contributing Editor at which means he acts like a slightly confused uncle who's forgotten where he's left his glasses. As well as letters and cameras, he likes imaginary numbers and legumes.