Washington, Mar. 27: Stock price of Candy Crush maker King reportedly went down on its first day of public trading, erasing 1.1 billion dollars in value.
The mobile game maker headed for its IPO with 7 billion dollars as estimated valuation, however, investors were quick to send its stocks down by 15 percent throughout the day, dashing all its hopes.
According to Tech Crunch, King went public, primarily based on its success with ‘Candy Crush Saga,’ but investors appeared too skeptical of the company repeating its past success.
Although King is an already profitable company, it failed to grab investors’ eyeballs as other public technology companies like Facebook and Twitter did.
The report said that the market appears open for technology offerings, but not suffused with enough optimism to grant King an IPO premium due to growth concerns. (ANI)