Company Behind Candy Crush Seeks IPO to Cash In on Popularity
Published By : 19 Feb 2014 | Published By : QYRESEARCH
Candy Crush is the most popular mobile game in recent public memory, and it has captivated the attention of millions of players worldwide. The company launched the puzzled game in April 2012, and since then it has witnessed users playing the game and striving to achieve best scores and comparing them on online media from people the world over.
However, it largely remains to be seen if the company behind the game-King Digital Entertainment-can sustain the current level of interest that its game garners, and also whether it can keep the excitement among investors fired up long enough. After all, game makers are all too familiar with the pitfalls of fading interest among players over a period of time.
With this in mind, King Digital Entertainment on Tuesday filed for an initial public offering (IPO) of stock, and it expects to raise nearly USD 500 million through the markets, besides pursuing a multibillion-dollar valuation through this strategy.
According to King, Candy Crush is the company’s star performer, and the company earns nearly 80% of its revenue via this game alone. The total revenue of the company was recorded at USD 1.9 billion at 2013 end, as compared to its revenue of USD 164 million in the end of 2012.
The game is popular because it can be downloaded for free and eventually paid for to help them move on to higher levels.
While there are very slight indications of the game’s popularity cooling down, it is still among the top-ranked games. On the Apple’s App Store, Candy Crush currently holds the position o the second-highest grossing game, closely following the strategy game Cash of Clans.