Glu files for IPO

News

Stuart O'Brien Dec 20 2006, 2:00pm

Glu Mobile has filed for an IPO that it hopes will net $92 million, a day after announcing the expansion of its European operations.

Glu, which bought UK games publisher iFone in March for $23.5 million, has been the subject of intense M&A speculation in recent months.

The company has been linked to acquisition by the likes of Microsoft, Hasbro and existing investor Time Warner.

It looks like the suitors will have to wait for now, however, with Glu filing forms declaring its intention to IPO on the NASDAQ market in the New Year.

Glu says $12.1 million of the funds raised will be used to pay off existing debts, with the rest set aside for investment 'companies, technologies, products or assets that complement our business.'

On Tuesday Glu confirmed it is opening new offices in Cologne, Germany and Nice, France, to deepen its focus in each country, work more closely with operators and consumers in German and French speaking regions and tailor activity according to specific market needs.

Meanwhile, the company's EMEA HQ and development studio in London has relocated to the Kensington Village complex in West London.

Glu generated revenues of $31.9 million in the nine months ended September 30, up 69 per cent on the same period in 2005.

The company posted a net loss of $10.0 million in the first nine months of 2006, compared to losses of $17.9 million for the whole of 2005.