Not Such a Sweet Deal: Candy Crush Stocks Plummet
It was just over a year ago that Candy Crush took us from our lives and, with one addictive row of digital candy at a time, finally made us a society incapable of eye contact.
By the end of that summer, King Digital Entertainment, the maker of the game, fancied themselves a $5 billion company. By March, they sought a $7.6 billion initial public offering. They were given $6 billion instead.
And then, just months later, the grand lowering of share prices began. From CNN:
The results highlight the risks facing King Digital, which some analysts warned was a one-trick pony when it went public in March at $22.50 a share.
Investors have soured on the Candy Crush maker since then. There was only one day that the stock closed above its IPO price and that was in early July.
The company also owns Pet Rescue and Farm Heroes, neither of which is nearly as popular as Candy Crush. They plan to release a new iteration of their most famous game, Candy Crush Soda Saga, later this year.
While this doesn't quite have echoes of Zynga, which tanked shortly after it went public, it turns out that it's a bit difficult to diversify:
Want to grab some? Candy Crush is launching actual candies! @CandyCrushSaga pic.twitter.com/vnxmnmZeGp
— AppsZoom (@Appszoom) August 6, 2014
This article was originally published at http://www.thewire.com/technology/2014/08/not-such-a-sweet-deal-candy-crush-stocks-plummet/375970/
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