This for some reason became a real hype and darling of the Nordic stock markets some years ago, thanks for the write-up!
My main concern, as you high-light, is the philosophy of these Far East BoD’s. It’s just so different vs. what we are used to in the Nordic and western stock market. For me, I perceive the risk as too high that they continue the shareholder unfriendly approach, and continue hoarding cash for another decade or so.
Interesting, I remember it was in the 2015-2020 very hot with the Swedish fintwit community, I did not know it was back in favor now. They had a good run back then, too.
I understand your concern, and it's a very legitimate one too. The flipside is the activist investor in GungHo + the policy changes in Japan pushing towards improved shareholder value, as they are trying to attract more foreign investments. But that is not a fast moving ship, and Gravity is Japan-owned but Korean-managed. But if you look at the growth in the Korean stock market in 2025, a dual-listing there could bring a lot of interest. They don't seem incentivized enough.
I would be encouraged by a small, smart acquisition (legacy recognizable IP, talented indie studio if one of the indie games they publish gets traction, etc.). Drecom revived the "Wizardry" IP beautifully this year, for example.
This for some reason became a real hype and darling of the Nordic stock markets some years ago, thanks for the write-up!
My main concern, as you high-light, is the philosophy of these Far East BoD’s. It’s just so different vs. what we are used to in the Nordic and western stock market. For me, I perceive the risk as too high that they continue the shareholder unfriendly approach, and continue hoarding cash for another decade or so.
Interesting, I remember it was in the 2015-2020 very hot with the Swedish fintwit community, I did not know it was back in favor now. They had a good run back then, too.
I understand your concern, and it's a very legitimate one too. The flipside is the activist investor in GungHo + the policy changes in Japan pushing towards improved shareholder value, as they are trying to attract more foreign investments. But that is not a fast moving ship, and Gravity is Japan-owned but Korean-managed. But if you look at the growth in the Korean stock market in 2025, a dual-listing there could bring a lot of interest. They don't seem incentivized enough.
I would be encouraged by a small, smart acquisition (legacy recognizable IP, talented indie studio if one of the indie games they publish gets traction, etc.). Drecom revived the "Wizardry" IP beautifully this year, for example.
Good stuff and lot of insights. Never even thought of this type of companies before, besides EA.
Thanks, it does come with its own "baggage" but I think its worth looking into ... there is also TINYBUILD but a lot riskier