Razer's shareholders have agreed on taking the Singapore-based consumer electronics company private.
On a meeting with the shareholders on 26 April, chief executive officer of Razer, Min-Liang Tan announced on his LinkedIn post that more than 94% of “disinterested” shareholders voted to privatise Razer.
Razer was founded in 2005 by Min-Liang Tan and Robert Krakoff, and is a company that designs, develops, and sells consumer electronics, financial services, and gaming hardware.
The company filed for an initial public offering (IPO) on the Hong Kong Stock Exchange (HKSE) in 2017.
Key Highlights
- According to the projected timeline, the privatisation deal is expected to complete by the end of May and it will most likely announce the delisting of shares on 10 May.
- In the announcement on the privatisation, it showed that shareholders had to vote not less than 75% to approve of the privatisation scheme.
- The total number of shares in issue was about 8.8 billion.
- Both Min-Liang and non-executive director Lim Kaling combined, own nearly 57% of the company.
- Shareholders will be offered HKD 2.82 (~US$0.36) per share in a deal that reportedly values the company at US$3.17 billion.
- Last year, Razer reported a 33.3% year-on-year revenue growth at US$1.6 billion.
- Despite the positive revenue growth report, Razer did mention that geopolitical tensions and the ongoing pandemic could adversely affect its business in the future.
