2009年4月20日星期一
海量网游玩家资料分析,和男女玩家的开心程度
2009年4月12日星期日
The surest formula to IPO: Another China game company listed on NASDAQ
You’d think it’s hard to go IPO at this trying time for a game company. Unless, of course, if you have a successful MMORPG in China. On April 2nd , Changyou (CYOU:NASDAQ), a Chinese game studio IPO’ed on NASDAQ. $120 million USD was raised and the investors pushed stock price from $19 to $25 in a week.
Why? Once you develop a hit MMORPG in China, you’re in for a lot of money. In the case of Changyou, it’s $200 million in revenue and over $100 million in net profit for 2008. And it’s almost completely through one single hit game, TLBB. So to IPO, it seems mere licensing doesn’t cut it anymore. Publishers with only licensed titles have not appeared on US markets since 2004. Changyou’s IPO took this point one step further. They’re breaking away from the parent company and publisher, Sohu, on an operational level. As Changyou says in the prospectus, the break out with Sohu would give them focus and access to external funding for further growth, even though Sohu would maintain a majority voting power. By spinning off Changyou, Sohu acknowledged the importance of keeping their internal game studio motivated and independent.
In short, an in house studio capable of making a killer MMORPG for China market seems to the surest formula for IPO.
And investors might not be as crazy as one would think. We know China MMORPG’s are amazingly evergreen.. Games such as TLBB have passed the magic 500,000 Peak Concurrent Users mark and would most likely maintain a healthy growth. (TLBB is at 800,000 PCU now.) The industry has quickly built up know-how over the past few years. Most of the strangest and blatant mistakes in operating an MMO are known and solved. Plus the market is big and diverse enough to sustain popular games over time despite new technology and competition. The company would do fine barring some major changes in the industry.
The upside is in another hit before the climate shifts. This is where one needs to ask if the stock price is worth it.