Devolver Digital Inc (AIM:DEVO) shares plunged 55.3% to 7.15p after the indie video game publisher proposed cancelling its AIM listing and returning up to $5 million through a tender offer.
The Delaware-registered company plans to buy up to 23.3 million shares, equal to about 4.71% of its issued capital, at 16p each. That price matched Wednesday’s closing level but was more than double the price after Thursday’s sell-off.
Devolver, the publisher behind indie hits including Hotline Miami, Cult of the Lamb and Enter the Gungeon, said the delisting and tender offer were subject to shareholder approval at a general meeting on 8 September. The cancellation requires support from at least 75% of votes cast.
Directors intend to back the proposal with their combined 25.91% holding.
If approved, the final day of dealings on AIM will be 15 September, with the cancellation taking effect the following day.
Devolver has also approved plans for a second tender offer of up to $5 million within 12 months of leaving AIM. This would be priced using an independent third-party valuation and provide remaining shareholders with another opportunity to sell.
The company has published more than 150 titles and has over 30 games scheduled for release during the next three years.
