Razer’s shareholders have approved a proposal from its top executives to take the Singapore-born gaming titan private.
More than 94% of “disinterested” shareholders voted in favor of privatization, Min-Liang Tan, founder, and CEO of Razer, said in a LinkedIn post.
Razer’s new Southeast Asia headquarters in Singapore / Source: Razer
“We look forward to developing our ecosystem of hardware, software, and services in our next phase as a private company,” he added.
The Hong Kong-listed company is likely to make the announcement regarding the delisting of shares on May 10, according to a statement.
Razer is led by Tan and non-executive director Kaling Lim – combined, both own nearly 57% of the company. The company is offering its remaining shareholders of the company HK$2.82 (US$ 0.36) a share in a deal that reportedly values the firm at US$3.17 billion, according to a Reuters report.
Founded in 2005, Razer is one of the top gaming firms with its portfolio covering hardware, software, and services. The company filed for an IPO on the Hong Kong stock exchange in 2017.
See also: Razer’s financial health in 5 charts
It reported a 33.3% year-on-year revenue growth for the financial year ended December 31, 2021. Its annual revenue came in at US$1.6 billion, up from US$1.2 billion in the previous financial year.
Razer, however, warned that factors such as “uncertainties and challenges” owing to geopolitical tensions and an ongoing pandemic may adversely affect its business in the future.
The development comes as Twitter, another publicly traded company, also confirmed that its sale to Tesla CEO Elon Musk for US$44-billion, paving the way for the microblogging platform to become a private firm.
Currency converted from Hong Kong dollars. Rate: US$1 = HK$7.85
Editing by Samreen Ahmad and Arpit Nayak
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