industry

Devolver Digital moves to delist from LSE, citing valuation mismatch and industry volatility

Devolver Digital's board announced plans to withdraw the company from the London Stock Exchange five years after its November 2021 IPO. The board says the company is undervalued because videogame revenue depends on the timing and scale of releases and long-tail sales, which clash with public markets' demand for predictable sequential growth. The company pointed to industry disruption—widespread layoffs, platform rationalisation and substantial impairments—as a factor making it difficult to meet market growth expectations and harming valuation. Delisting is presented as a way to remove public-market pressure and better align corporate strategy with the realities of the videogame business.

• Devolver went public in November 2021 and has filed to withdraw from the London Stock Exchange five years later.
• The board concludes the company is undervalued because valuation is tied to the timing and scale of new game releases and long-tail revenue patterns.
• Devolver cites sector-wide disruption—widespread layoffs, platform rationalisation and substantial impairments—as undermining its ability to deliver market-expected growth.
• The company views delisting as a way to escape pressure for predictable, sequential growth that it says misprices games' revenue profiles.