King The Creator of Candy Crush Floats Company on New York Stock Exchange
That ambition became a reality for one app developer as they decided to float their company’s shares on the New York Stock Exchange. King – creator of popular gaming app Candy Crush – managed to raise $500m during this floatation raising the company’s overall value to $7bn. Priced at $22.50 per share, King managed to sell over 22.5 million shares and trading is set to start today.
King are a very well established organisation with over 180 games in their portfolio, however like any company going public there are risks. The main threat hinders on the popularity of their games. Currently King’s top three games accumulate for 95% of their revenue – according to their Q4 2013 accounts. One of those games was Candy Crush, which became the most downloaded free mobile app of 2013 helping King’s revenue rise to $1.8bn. This will be an area carefully monitored by investors over the coming months.
Another area King plans to use the investment is in what they called “other general corporate purposes, which may include acquisitions”. Gaming apps, be on the lookout!