refaky.blogg.se

War commander kixeye closing sectors
War commander kixeye closing sectors










war commander kixeye closing sectors

King, which is offering 22.2 million shares at between $21 and $24 per share, will announce final pricing on Tuesday.

war commander kixeye closing sectors

"Because it's not, that's a double whammy." "Revenue concentration in one game would still be palatable if in fact the game was growing," Sterne Agee analyst Arvind Bhatia said. King said the decline reflected "a decrease in 'Candy Crush Saga' gross bookings," though gross bookings of other games rose. While King's revenue skyrocketed over 1,000 percent in 2013 from the prior year, its fourth-quarter revenue declined 3 percent sequentially to $602 million. Rovio, maker of the still-popular Angry Birds franchise, has yet to pursue an offering, for example. Investors warn of the dangers of an industry where games like "Draw Something", from Zynga's OMGPop studio that was shut down a year ago, can top the charts and then quickly fizzle. King's debut on the Big Board on Wednesday will be closely watched by rivals like Kabam and Kixeye - known for strategy games like "Kingdoms of Camelot" and "War Commander" - which are expected to seek market listings or new financing. When upstarts like King and Zynga go public with valuations approaching those of more established players in the tech space, "it's all about when (the tech bubble) is going to pop," he said.Įven if King, which was founded in Sweden a decade ago, pulls off a strong debut, the real test will be the stock's staying power in coming weeks and months.

war commander kixeye closing sectors

"I would be inclined not to invest in stock like this."

war commander kixeye closing sectors

"The red flag for this IPO is that King's revenues and fortunes are built on one game," Michael Yoshikami, chief executive of Destination Wealth Management, said.

#War commander kixeye closing sectors free

While the company has drawn plaudits for catching the mobile gaming wave with the most downloaded free app and becoming the top revenue producer of 2013 on Apple Inc's app store, it relies on its marquee game for three-quarters of its revenue. The Fortis Advisors are representing sellers and owners that have not been active in Kixeye since before the acquisition by Stillfront.That may be a struggle for London-based King. Kixeye’s development has been mentioned several times in Stillfront’s quarterly reports. It should be noted that Kixeye continued to underperform also during 2020 which resulted in a cost optimization project of Kixeye which was initiated in the beginning of 2021 to compensate for its long-term decline in revenue. Fortis claims that Stillfront has breached the merger agreement in bad faith and owes the sellers the maximum $30 million earnout amount payable under the merger agreement for the financial year 2019. But it’s not clear why they said that, as the Kingdom Maker team moved over to Global Worldwide where it continues on the game.įortis Advisors, representing the sellers of Kixeye, has filed a complaint against Stillfront in the Court of Chancery of the state of Delaware. In January 2020, Stillfront announced it had laid off the Kingdom Maker team, eliminating about 20 jobs. Prior to the acquisition, Kixeye had more than 70 million unique users. Stillfront also allegedly dramatically cut spending on Kixeye’s games after the merger, even though it had described the games as stable and profitable before that. Stillfront allegedly retroactively “readjusted” or intentionally manipulated its pre-merger expenses, making it all but impossible for Kixeye to hit its earnout target. The earnout would be based on a non-GAAP measure of financial performance dubbed adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization). Kixeye planned to spin off operations related to the unreleased game Kingdom Maker, which was still under development. Under the original deal, Stillfront did not acquire all of Kixeye. The titles included games such as War Commander: Rogue Assault, Battle Pirates, War Commander, and Vega Conflict.įortis accused Stillfront of doing some creative accounting that made Kixeye’s results look worse than they actually were in an allegedly bad faith attempt to evade the earnout payment. Kixeye made popular real-time strategy games for mobile devices and PCs. In June 2019, Stillfront bought Kixeye for $90 million in an agreement that had an earnout of $30 million based on Kixeye’s expected financial performance for 2019. We’ve asked Stockholm, Sweden-based Stillfront for a comment (and it is at the bottom of the story).












War commander kixeye closing sectors