Ten Square Games: Up as strategic review, low valuation spur investors

Ten Square Games

11/06/2021 09:48

** Shares in Ten Square Games are up 4%, pare gains after
rising nearly 8% after the Polish mobile game developer
announced a review of strategic options  urn:newsml:reuters.com:*:nFWN2NS0JA
    ** "The company said it was starting a review of strategic
options and is considering letting in a strategic or financial
investor, that's why shares are up", said Haitong Research
analyst Konrad Ksiezopolski
    ** Ksiezopolski notes that based on current forecasts for
2021 the company's shares were traded yesterday at a
price-to-earnings ratio of about 14.5x and in the case of a
takeover bid a much higher ratio would need to be paid
    ** "The market, investors, are buying Ten Square Games
today, because of its low valuation, and if a strategic or
financial investor was to turn up, he would simply have to pay a
lot more  ... ," he added
    ** Księżopolski says it is an attractive acquisition target
for larger companies and says there are probably many companies
that could be interested in a takeover
    ** Shares, which top Poland's WIG40 index  .mWIG40  on
Friday, up to the previous session's close were down 21%​ this
year
    

 ((karl.badohal@thomsonreuters.com))