Rovio plans to go public with $2 Billion valuation

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Rovio plans to go public with $2 Billion valuation

Rovio Entertainment Oy, the game studio responsible for developing the mega-hit game and movie Angry Birds is reportedly planning an IPO(Initial Public Offering) as early as next month,that could value the company at about $2 billion.

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Rovio Entertainment Oy, the game studio responsible for developing the mega-hit game and movie Angry Birds is reportedly planning an IPO(Initial Public Offering) as early as next month,that could value the company at about $2 billion.

It is speculated that the firm could raise upto $400 million from a local market listing. It has been a while since the Finnish game maker has been looking for new growth sources after recent years' losses. The studio posted a 190million euros in revenues for 2016, up by 34% from the previous year, while the earnings amounted to 17.5million euros. According to some, Carnegie Bank A/S, Danske Bank A/S and Deutsche Bank AG are among banks advising on a potential listing. While a $2billion valuation would create a $1.4billion fortune for the board director Kaj Hed, it could also help the studio fund the sequel to the first Angry Birds Movie.

In the year 2003, three students from Helsinki University Of Technology, Niklas Hed, Jarno Vakevainen and Kim Dikert, participated in a mobile game development competition at the Assembly demo party sponsored by Nokia and HP. The trio won at the event with a multiplayer game called King of the Cabbage World, which led them to set up their own company, Relude along with Niklas Hed's cousin Mikael Hed. The game King of The Cabbage World was then sold to Sumea Studios, and was renamed Mole War. It became one of the first commercial real-time multiplayer mobile games.




After recieving the first round of investment in 2005, Relude changed its name to Rovio Mobile, which means pyre in Finnish. What followed then, will leave many of us awestruck. Rovio made 51 games during the time and none of them performed well. They almost became broke and tried for one last time before gving up. In 2009, Michael Hed became the CEO and in December 2009, Rovio released a puzzle game where a bird is flung using a slingshot for the iPhone, named Angry Birds. After six moths it reached the no. 1 spot in the Apple App Store paid apps chart and held the position for months after. Since then, the game has been downloaded for over a billion times, and is one of the top selling games in the App Store.

March 2011, Rovio raised $42 million in venture capital funding from Accel Partners, Atomico and Felicis Ventures. Rovio Entertainment Ltd was then made the new company name. In the October of 2011, Rovio acquired Kombo, a Helsinki-based animation company to produce a short video series which was released in 2012. In the March of 2012, Futuremark Game Studios was acquired for an undisclosed sum. March 2013, Toons TV a multiplatform channel was launched, starting with Angry Birds Toons. As of 2013, Rovio became a video game publisher and started publishing third party games through their Rovio Star program.




Rovio, just like many other game developers, has been searching for new growth after its initial success with the Angry Birds mobile game. At the end of 2014, Rovio suffered a 73% decrease in profit, earning only 10million euoros. However, with the success of the Angry Birds movie, it's sales in the first half of the year almost doubled. The company sold parts of its business to Kaiken Entertainment, a startup led by former CEO Mikael Hed and other company veterans. The sale which included Rovio's TV animation studio, book publishing business and various non-Angry Birds properties was aimed at reviving growth for the company's core animation business.

Current Games by the company:

  1. Angry Birds
  2. Angry Birds Seasons
  3. Angry Birds Rio
  4. Angry Birds Space
  5. Bad Piggies
  6. Angry Birds Star Wars
  7. Angry Birds Friends
  8. Angry Birds Friends
  9. Angry Birds Friends
  10. Angry Birds Star Wars II
  11. Angry Birds Go!
  12. Angry Birds Epic
  13. Angry Birds Transformers
  14. Angry Birds POP!
  15. Angry Birds 2
  16. Nibblers
  17. Love Rocks
  18. Angry Birds Action!
  19. Angry Birds Blast!
  20. Battle Bay
  21. Angry Birds Evolution