Gaming organization Razer is looking for a public offering (IPO) that will make its CEO Tan Min-Liang a very rich person, according to Bloomberg. Tan and his family claim around 42 percent of the San Francisco-based company, which develops gaming software and PC accessories like headsets. Razer is putting forth more than a tenth, to raise a minimum of $400 million in a Hong Kong IPO, giving Mr. Tan total assets of more than US$1.2 billion, according to the Bloomberg Billionaires Index.
“The gaming industry is a market that’s growing, and it has even more growth potential, influenced by external factors such as an increase in household income and time spent on leisure,” said Kyung-il Lee, an analyst at Seoul-based Heungkuk Securities. “Companies making gaming hardware can also benefit from that growth.”
Razer’s arrangement to list shares comes in the midst of powerful development in the worldwide gaming market, which is expected to reach $160 billion by 2021, a 52% increase from a year ago, says Euromonitor. Tan said Razer has sold $1 billion worth of goods in the previous three years, and now has 35 million clients for a software stage that creates new games and adds gamers.
“While gaming has had many happy times for me, gaming has gotten me through some of my saddest times,” Tan said in a Facebook post. Tan declined to comment on his net worth.
The offer value is expected to be between $2.93 and $4.00 per share. Credit Suisse (Hong Kong) Limited and UBS Securities Hong Kong Limited are the joint sponsors. Razer was established in 2005 by Tan, as a creator of PC mice for hardcore gamers around the globe.