Devolver Digital plans to transition into a privately held company

Indie game publisher Devolver Digital has announced plans to revert to a private company status by year's end.

According to a statement directed at its investors, Devolver Digital aims to withdraw from trading on the UK's AIM market. The decision rests on a shareholder vote during Devolver's Annual General Meeting, set for September 8. Should investors approve, the company's public trading will terminate on September 16.

Devolver made its public debut on AIM in November 2021, initially valued at £694.6 million ($950 million).

The management team has stated that since going public, the volatile gaming sector conditions have challenged Devolver in meeting growth targets aligned with market forecasts.

The company's directors argue that the existing share price fails to accurately represent Devolver's real market value.

Since becoming public, Devolver has seen a 96.27% drop in share price, reducing its market capitalization to approximately £34.64 million ($46.63 million).

By going private, Devolver anticipates saving roughly $1.6 million annually.

A company spokesperson, speaking to GamesIndustry.biz, explained that "Devolver and its board are seeking shareholder approval to delist because returning to a private company will benefit Devolver, its workforce, partners, and shareholders collectively."

The announcement further clarified that the primary goal is "to let the finance, legal, and executive teams concentrate on the company's long-term success without the constraints of public market requirements, which aren't essential for thriving as a game publisher."