Indie game publisher Devolver Digital has announced its intention to return to private ownership and exit the public markets later this year. The company went public in November 2021 on London's AIM exchange with a valuation of £694.6 million.
Since then, its share price has plummeted over 96%, leaving the company with a market capitalization of just £34.64 million. Devolver's board stated that the current valuation "does not reflect the true market value" of the brand.
In an official statement, Devolver's board described the company as "substantially undervalued" and pointed to fundamental incompatibilities between the video game industry and the demands of public shareholders. The publisher argued that continuous pressure to deliver growth matching market expectations has become counterproductive to long-term operations.
Devolver Digital publishes titles including Cult of the Lamb, Disco Elysium, and Death's Door. The transition back to private ownership aims to relieve financial pressures and allow the company to pursue long-term strategy without quarterly earnings demands.
