Coffee Stain's $615M Valuation Post-Embracer Spin-Off
Dec 11 (Reuters) - Video game developer and publisher Coffee Stain Group started trading on the Nasdaq First North exchange on Thursday after its separation from Swedish gaming group Embracer.
The spin-off of Embracer's independent game studios into Coffee Stain is part of a sweeping restructuring plan, which also included listing board game maker Asmodee in February. The move brings titles such as Goat Simulator, Valheim and Deep Rock Galactic under Coffee Stain's umbrella.
Shares of the newly-listed group opened at 26.62 Swedish crowns, giving it a market valuation of around 5.7 billion crowns, or $615 million, based on its around 214.2 million listed shares. However, they were trading close to 10% lower at 24 crowns by 0910 GMT.
Embracer shares have been trading without Coffee Stain rights since Monday, when the separation knocked off some 30% of its market value. They were down around 2% at 59.6 crowns per share in early trading on Thursday.
That translates to a market capitalisation of around 13 billion crowns, as opposed to 18.7 billion crowns before Coffee Stain was carved out, based on LSEG data.
Embracer said in November it would leave Coffee Stain with no debt and a pro-forma net cash position of 500 million crowns as of September 30, which should allow it to continue investing in its game portfolio and potential acquisitions.
($1 = 9.2719 Swedish crowns)
(Reporting by Vera Dvorakova in Gdansk; Editing by Milla Nissi-Prussak)
