Mobile games group Huuuge's readies for US$400 million IPO in February

Mobile games group Huuuge's readies for US$400 million IPO in February

WARSAW: Mobile games developer Huuuge Inc. has set the maximum price in its Warsaw initial public offering (IPO) at 50 zlotys per share, valuing the deal at around 1.5 billion zlotys (US$400.8 million), the company said on Wednesday.

Huuuge, with a significant base in Poland, adds to a list of companies that have targeted IPOs as restrictions imposed due to the coronavirus crisis prompt more people to go online for entertainment, shopping and other needs.

"Mobile gaming is the fastest growing segment of the gaming market, with huge growth potential driven by the growing popularity of smartphones and the introduction of 5G networks," Huuuge founder and Chief Executive Anton Gauffin said in a statement.

IPOs in Europe have kicked off this year, as issuers want to make up for a quiet 2020, when the spread of COVID-19 wreaked havoc on economies and dulled stock market listing volumes.

Polish parcel locker InPost will debut on Euronext Amsterdam on Wednesday.

Huuuge said this month it expected to raise up to US$150 million from a new share issue.

It plans to use the IPO proceeds for potential acquisitions and investment.

Bookbuilding among international investors will take place between Jan. 27 and Feb. 4 and the final price will be set by Feb. 5.

The offering includes up to 15 million newly issued shares and up to 18.35 million existing ones. Huuuge's biggest shareholder is CEO Gauffin, who intends to maintain a significant stake in the company.

The company plans to debut on Warsaw Stock Exchange around Feb. 19.

(US$1 = 3.7423 zlotys)

(Reporting by Anna Koper; Editing by Jane Merriman and Edmund Blair)

Source: Reuters