Razer, the US-based gaming accessories producer backed by chipmaker Intel and mobile services provider Hangzhou Liaison Interactive, is set to raise up to $550m when it floats in Hong Kong on Monday, IFR reported today.
The company will price its shares at between HK$2.93 to HK$4.00 ($0.38 to $0.51), and has already secured $150m in commitments from cornerstone investors including the Singaporean state-owned GIC, which will buy $20m of shares.
Razer’s core business is its gaming products range, which incorporates everything from joysticks and specialist keyboards to gaming software and laptops. It recently broadened its offering by launched an eSports platform and a virtual currency known as zGold.
The proceeds from the initial public offering will support the launch of additional products that will include a mobile gaming device, a source told Reuters.
Razer had raised at least $25.9m in funding through 2013 from investors including Sirius Financial Group, in addition to $50m in 2011 from IDG-Accel China Capital Fund, a fund formed by VC firm Accel and IDG Capital, then an affiliate of IT media firm International Data Group.
Intel invested an undisclosed amount in the company at a $1bn valuation in 2014 through its corporate venturing unit, Intel Capital, and Hangzhou Liaison Interactive Digital Grid paid $75m for a 5% stake in February 2016.
HF Technology Investment invested $50m in Razer in September 2016, before the company received $43m in a May 2017 series D round that included private equity firm Redmount Ventures and VC firms Horizons Ventures and Binary Capital.
– Image courtesy of Razer Inc.