The PlaySide Studios Limited (ASX: PLY) share price has been a strong performer since completing its initial public offering (IPO) earlier this month.
Since landing on the ASX boards with a listing price of 20 cents, the video game developer's shares have doubled to 40 cents today.
The PlaySide Studios IPO.
Earlier this month, PlaySide Studios raised $15 million from investors at 20 cents per share. Management revealed that that the IPO received strong support from a broad range of institutional and retail investors.
Upon listing, the company had approximately 366.5 million shares on issue, giving it a market capitalisation of $73 million based on the IPO price.
Given the doubling of its share price since then, its market capitalisation is now ~$150 million.
What is PlaySide Studios?
PlaySide Studios is one of Australia's largest independent video game developers.
At the last count, the company had 52 titles developed across four platforms: Mobile, Virtual Reality (VR), Augmented Reality (AR), and PC.
This includes games that have been developed internally with original intellectual property (IP) and games developed in partnership with Hollywood studios such as Disney, Warner Bros, and Nickelodeon.
Among its titles are games related to Jumanji, The Walking Dead, Batman, Superman, Teenage Mutant Ninja Turtles, and Disney Pixar's Cars.
The company operates in a growing mobile games market which it estimates to be worth $77.2 billion per annum at present.
What's next?
With the company's operations well-funded following its IPO, management is now aiming to secure the rights to develop mobile games from select media brands within its Brands & Licensing Division. It is also aiming to expand its development team to support new original titles.
In addition, the Port Melbourne-based company plans to open a business development office in Los Angeles when the risk from the COVID-19 can be appropriately managed. This is expected to support its activities with Hollywood studios.
The company's Managing Director, CEO, and Co-Founder, Gerry Sakkas, appears very positive on the future.
Upon listing, Mr Sakkas commented: "PlaySide has in the past few years proven its ability to make games that millions of people love to play while sustainably building a profitable business on a global stage and, having now listed on the ASX, we believe we'll be able to scale our skills, science and art to unlock significant value for PlaySide shareholders."
