3rd Jul 2020 10:59
(Alliance News) - Draper Esprit PLC on Friday said it expects to record a "significant return" on its investment in Turkish games developer Peak Games, which has been bought by US-listed rival Zynga Inc in a cash and stock deal worth USD1.85 billion.
The technology-focused venture capital firm expects to receive GBP39 million in cash proceeds for its investment in Peak Games. The remaining consideration of shares in Zynga are to be held subject to a further six months lock-up period.
The sale indicates a fair value holding for London-based Draper Esprit of about GBP88 million based on the current Zynga share price. This represents a fair value uplift of GBP26 million recognised in the year ended March 31 as well as a further GBP20 million post-year end.
Draper Esprit CEO Martin Davis said: "This transaction represents a significant return on our original investment and builds on the strong momentum we have already generated since starting the new financial year."
Draper Esprit's shares were up 3.5% at 476.00 pence on Friday morning in London.
By Greg Roxburgh; [email protected]
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