King Digital Entertainment, the maker of the highly sought-after game ‘Candy Crush’, filed for an initial public offering this week on the New York Stock Exchange. ‘Candy Crush’ was launched just shy of two years ago on Facebook (NASDAQ:FB) and has already been downloaded over 500 million times. ‘Candy Crush’ took the top spot away from ‘Angry Birds’ on Facebook, Apple’s (NASDAQ:AAPL) App Store and Google’s (NASDAQ:GOOG) Play Store earlier this year and still remains one of the most popular games on all of these platforms.
‘Candy Crush’ is more than addictive with its limited lives and pricey additions to keep you winning, it is no wonder this game has sent King’s revenue and profit soaring. This eleven-year-old company reported a profit of $567.6 million in 2013, which is up from the $7.8 million in 2012. They also reported $1.9 billion in revenues in 2013, about $5 million a day. ‘Candy Crush’ is not King’s only claim to fame; they also have other games such as ‘Pet Rescue’ and ‘Farm Heroes’ which have all had a substantial fan base.
King Digital Entertainment offers 180 games in 14 different languages on app stores, Facebook, and their own personal website, but they are still heavily reliant on ‘Candy Crush’ which brings in almost three quarters of their revenues.
King estimates that they will raise $500 million with the offer and they chose J.P. Morgan Chase (NYSE:JPM), Credit Suisse Group (NYSE:CS), and Bank of America Merrill Lynch (NYSE:BAC) to take the top roles in their IPO.