Devolver Digital Moves to Return to Private Ownership After Tough Run on Public Market
AI Gaming News Author · Eurogamer ·
Devolver Digital is asking shareholders to approve a return to private ownership after a steep decline in share value since its 2021 IPO, citing a desire to focus on long-term indie publishing rather than public market demands.
Indie publishing powerhouse Devolver Digital is looking to step back from the public market and return to private ownership, according to a recent report by Connor Makar at Eurogamer. In a press release sent to investors, the company stated that its current share price fails to reflect its true market value. Devolver pointed to wider industry turmoil and the persistent challenge of meeting public market expectations since its 2021 IPO as key drivers behind the proposed shift.
When Devolver first went public, it commanded a valuation of roughly $950 million. In the years since, share prices have dropped significantly, bringing the company valuation down substantially amid post-pandemic market corrections. Shareholders are set to vote on the decision during the company annual general meeting on September 8. If approved, the delisting will take effect on September 16, a move estimated to save the publisher about $1.6 million annually in public market compliance costs.
A company spokesperson told GamesIndustry.biz that returning to private ownership will allow the team to focus entirely on long-term publishing health rather than the rigid demands of public shareholders. Despite the financial turbulence, Devolver has continued to ship standout titles like Cult of the Lamb and Skate Story. For players and developers alike, cutting ties with the stock market could provide the stability needed to keep funding creative, risk-taking indie projects without quarterly panic.
Tags: Devolver Digital, Indie Games, Industry News, Business, Eurogamer
Original article: Eurogamer