Stable, growing Gaming operations with long-term Bitcoin Treasury strategy
18 februari, 16:15
18 februari, 16:15
Fragbite Group AB (publ) (”Fragbite Group” or ”the Company”) is launching a new strategic platform focusing on Gaming, Esports and Bitcoin Treasury. Fragbite Group shall be an attractive alternative for investors in the Nordics through a unique combination of stable, growing Gaming and Esports business operations and an ambitious, long-term Bitcoin Treasury strategy. Positive cash flow, operating profit and gradual increase of Bitcoin holdings, as well as yield from leveraging Bitcoin, will be prioritized. Focus on targeted investments that provide recurring returns and enable expansion of the business replaces the previous strategy, which was based on acquiring wholly-owned subsidiaries.
Below is Fragbite Group's new strategic platform, which will be further developed and extended in the coming months.
BUSINESS IDEA
Fragbite Group creates shareholder value by combining well-established business operations in Gaming and Esports with an ambitious, long-term Bitcoin Treasury strategy.
OBJECTIVES
STRATEGY
The Company intends to accomplish its objectives through three overarching strategic initiatives:
1. Stable, growing business operations with a long-term Bitcoin Treasury strategy
Fragbite Group will gradually increase its Bitcoin holdings with the highest possible return on invested capital, and pursue creative, innovative solutions for generating yield by leveraging Bitcoin. The engagement in Bitcoin is long-term, which means that treasury activities will vary in intensity over market cycles and increase in periods where it is advantageous and enhances shareholder value. Bitcoin Treasury complements and strengthens the Company's stable foundation of core business operations, IP rights, and over 20 years of experience in Gaming and Esports, which generates recurring revenue. In our business operations, we will grow with profitably off the basis of our core competencies in developing games, game engines and esports content, with a near-term focus on expanding the Gaming business area's service offering in game development towards iGaming as a target market. Surpluses from business operations will first be put towards supporting the parent company and then towards investment in Bitcoin.
2. Positive cash flow over size
We are stepping away from the previous priority of growing the Group’s size even at a high cost. Going forward, the Company will prioritize positive cash flow and operating profit. Fragbite Group will primarily grow organically, and secondarily through new ventures, if and when targeted capital injections into existing business operations yield near-term results. We evaluate all types of growth opportunities based on how they affect cash flow and operating profit, in the short and long term. The ambition of growing the Group remains, but new investments must not entail indebtedness or dilution to the extent that has been done previously.
3. Shift in ownership focus
Whereas the previous strategy was based on acquiring wholly-owned subsidiaries, we now shift focus to seeking part-ownerships and targeted investments that enable strategic collaborations. Full acquisitions of companies within Gaming remain relevant in the long term, but in the near term, we look towards part-ownership in profitable businesses that are expected to generate recurring returns and/or support core business operations through, for example, IP rights or new client projects.
IMPLEMENTATION
For questions, please contact:
Erika Mattsson, Chief Communications Officer
ir@fragbitegroup.com
Phone: +46 8 520 277 82
Redeye Sweden AB is the Company’s Certified Adviser.
About us
Fragbite Group AB (publ) is a Swedish corporate group based in Stockholm that creates long-term shareholder value through combining well-established business operations in Gaming and Esports with an ambitious, long-term Bitcoin Treasury strategy. Fragbite Group's oldest subsidiary was founded in 2002, while the group was formed in 2021 when the share was also listed on Nasdaq First North Growth Market under the ticker $FRAG.
Attachments
Stable, growing Gaming operations with long-term Bitcoin Treasury strategy
18 februari, 16:15
Fragbite Group AB (publ) (”Fragbite Group” or ”the Company”) is launching a new strategic platform focusing on Gaming, Esports and Bitcoin Treasury. Fragbite Group shall be an attractive alternative for investors in the Nordics through a unique combination of stable, growing Gaming and Esports business operations and an ambitious, long-term Bitcoin Treasury strategy. Positive cash flow, operating profit and gradual increase of Bitcoin holdings, as well as yield from leveraging Bitcoin, will be prioritized. Focus on targeted investments that provide recurring returns and enable expansion of the business replaces the previous strategy, which was based on acquiring wholly-owned subsidiaries.
Below is Fragbite Group's new strategic platform, which will be further developed and extended in the coming months.
BUSINESS IDEA
Fragbite Group creates shareholder value by combining well-established business operations in Gaming and Esports with an ambitious, long-term Bitcoin Treasury strategy.
OBJECTIVES
STRATEGY
The Company intends to accomplish its objectives through three overarching strategic initiatives:
1. Stable, growing business operations with a long-term Bitcoin Treasury strategy
Fragbite Group will gradually increase its Bitcoin holdings with the highest possible return on invested capital, and pursue creative, innovative solutions for generating yield by leveraging Bitcoin. The engagement in Bitcoin is long-term, which means that treasury activities will vary in intensity over market cycles and increase in periods where it is advantageous and enhances shareholder value. Bitcoin Treasury complements and strengthens the Company's stable foundation of core business operations, IP rights, and over 20 years of experience in Gaming and Esports, which generates recurring revenue. In our business operations, we will grow with profitably off the basis of our core competencies in developing games, game engines and esports content, with a near-term focus on expanding the Gaming business area's service offering in game development towards iGaming as a target market. Surpluses from business operations will first be put towards supporting the parent company and then towards investment in Bitcoin.
2. Positive cash flow over size
We are stepping away from the previous priority of growing the Group’s size even at a high cost. Going forward, the Company will prioritize positive cash flow and operating profit. Fragbite Group will primarily grow organically, and secondarily through new ventures, if and when targeted capital injections into existing business operations yield near-term results. We evaluate all types of growth opportunities based on how they affect cash flow and operating profit, in the short and long term. The ambition of growing the Group remains, but new investments must not entail indebtedness or dilution to the extent that has been done previously.
3. Shift in ownership focus
Whereas the previous strategy was based on acquiring wholly-owned subsidiaries, we now shift focus to seeking part-ownerships and targeted investments that enable strategic collaborations. Full acquisitions of companies within Gaming remain relevant in the long term, but in the near term, we look towards part-ownership in profitable businesses that are expected to generate recurring returns and/or support core business operations through, for example, IP rights or new client projects.
IMPLEMENTATION
For questions, please contact:
Erika Mattsson, Chief Communications Officer
ir@fragbitegroup.com
Phone: +46 8 520 277 82
Redeye Sweden AB is the Company’s Certified Adviser.
About us
Fragbite Group AB (publ) is a Swedish corporate group based in Stockholm that creates long-term shareholder value through combining well-established business operations in Gaming and Esports with an ambitious, long-term Bitcoin Treasury strategy. Fragbite Group's oldest subsidiary was founded in 2002, while the group was formed in 2021 when the share was also listed on Nasdaq First North Growth Market under the ticker $FRAG.
Attachments
Stable, growing Gaming operations with long-term Bitcoin Treasury strategy
Familjen Rausing i EQT
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Familjen Rausing i EQT
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1 DAG %
Senast
OMX Stockholm 30
−1,45%
(vid stängning)
OMX Stockholm 30
1 DAG %
Senast
3 018,72