Video game publisher THQ Nordic recently raised 2.09 billion Swedish Krona (about $223 million USD) that will go toward expanding its ever-increasing portfolio, it announced on Thursday.
The company issued 11 million Class B shares and said it plans to use the proceeds to “finance new acquisitions of franchises, game development studios, or other assets which complement the operations, and to enable a higher rate of investment in the development of the company.”
THQ Nordic has been extremely busy over the last few years. It has at least 55 games in development and another 35 projects unannounced, it said in November. It’s also acquired a large number of studios and intellectual properties, including “Kingdom Come: Deliverance” studio Warhorse and “Wreckfest” developer Bugbear Entertainment. It’s picked up the “Kingdoms of Amalur” IP and assets from the now-defunct 38 Studios. It now also owns a number of classic IPs like Atari’s survival horror franchise “Alone in the Dark,” the 1999 action-adventure “Outcast,” and the first-person shooter franchise “TimeSplitters.”
In a statement to GamesIndustry.biz, THQ Nordic CEO Lars Wingefors said he wants all of his companies to be financed through the cashflow from making great games. “However, our strategy right now is to build something substantial, diversified and evergreen through acquisitions and substantial organic development growth,” he said. “As you know, we are just approx 0.5% of the global market and have a long way to go before we reach the next level.”
“By not using aggressive debt, like loans and bonds, as many others [companies do], we put all stakeholders in the same boat. It also creates a safer, long-term environment for all our great employees and business partners that don’t have to worry about our balance sheet for the next paycheck.”