Enad Global 7 Interim Report: January–December 2020

Key insights

5 takeaways

01
Enad Global 7 achieved pro forma annual revenue of SEK 1.7 billion and an adjusted EBITDA of SEK 512 million in 2020, driven by a 245% increase in net revenue during the fourth quarter.See it on page 3
02
The company executed a major expansion strategy by acquiring Daybreak Game Company, Piranha Games, and Big Blue Bubble to diversify its intellectual property and scale operations.See it on page 4
03
To fund these acquisitions and restructure debt, the company raised SEK 1.7 billion in equity, significantly improving liquidity and reducing interest expenses.See it on page 5
04
Effective January 1, 2021, the company transitioned to IFRS accounting standards, a move projected to increase annual EBIT by SEK 600 million.See it on page 23
05
The group now operates with approximately 600 employees across 12 global offices, focusing on the integration of its newly acquired assets and standardized financial reporting.See it on page 15

Summary

Enad Global 7 underwent a period of rapid transformation throughout 2020, evolving into a major international gaming entity through aggressive acquisition and capital restructuring. The primary objective of this expansion was to diversify the company’s intellectual property portfolio and scale its operational footprint. By integrating Daybreak Game Company, Piranha Games, and Big Blue Bubble, the group secured a robust collection of established free-to-play titles and seasoned development talent, positioning itself for sustained long-term growth across the global interactive entertainment market.

Financial performance reflected this strategic shift, with the group achieving pro forma annual revenue of SEK 1.7 billion and an adjusted EBITDA of SEK 512 million. The fourth quarter proved particularly significant, marked by a 245 percent increase in net revenue. To facilitate these acquisitions and ensure future financial flexibility, the company successfully raised SEK 1.7 billion in equity and optimized its capital structure through debt refinancing. These efforts have solidified the group’s liquidity and reduced interest expenses, providing a stable foundation for ongoing investment.

Operating with approximately 600 employees across 12 global offices, the organization is now focused on operational integration and standardized financial reporting. A critical milestone in this transition is the adoption of IFRS accounting principles effective January 1, 2021. This shift in reporting standards is expected to enhance transparency and result in an estimated annual EBIT increase of SEK 600 million. By combining a diversified portfolio of gaming assets with a strengthened balance sheet and modernized financial oversight, the company has established a scalable framework designed to compete effectively within the global gaming industry.