Perfect World Co. goes private as a result of a buyout by its chairman

bloodborne12

Don't know how many people notice this news. Since I am playing Neverwinter now I am concerned about the game as well as Cryptic's future. Anyone currently play PWE games has the same concern? 

Kumapon

This was posted in the Washington Post on Apr. 26th

http://washpost.bloomberg.com/Story?docId=1376-NNFH8A6K50XT01-3B266QDO1G1RJ9QV9P8GJ5PED9

Looks like he got a 900 million dollar loan from a Chinese bank to buy off all the investors, and Perfect World will be merged into a new company called Perfect Peony Holding Co., which is located in the Cayman Islands.

Doesn't sound fishy at all. Doesn't sound fishy a siiiingle bit....lol

Bascola

Originally posted by Kumapon

This was posted in the Washington Post on Apr. 26th

http://washpost.bloomberg.com/Story?docId=1376-NNFH8A6K50XT01-3B266QDO1G1RJ9QV9P8GJ5PED9

Looks like he got a 900 million dollar loan from a Chinese bank to buy off all the investors, and Perfect World will be merged into a new company called Perfect Peony Holding Co., which is located in the Cayman Islands.

Doesn't sound fishy at all. Doesn't sound fishy a siiiingle bit....lol

i concur. Big scams incoming.

SpottyGekko

Originally posted by Bascola

Originally posted by Kumapon

This was posted in the Washington Post on Apr. 26th

http://washpost.bloomberg.com/Story?docId=1376-NNFH8A6K50XT01-3B266QDO1G1RJ9QV9P8GJ5PED9

Looks like he got a 900 million dollar loan from a Chinese bank to buy off all the investors, and Perfect World will be merged into a new company called Perfect Peony Holding Co., which is located in the Cayman Islands.

Doesn't sound fishy at all. Doesn't sound fishy a siiiingle bit....lol

i concur. Big scams incoming.

So, business as usual then in all PWE games ? 

bloodborne12

Originally posted by SpottyGekko

Originally posted by Bascola

Originally posted by Kumapon

This was posted in the Washington Post on Apr. 26th

http://washpost.bloomberg.com/Story?docId=1376-NNFH8A6K50XT01-3B266QDO1G1RJ9QV9P8GJ5PED9

Looks like he got a 900 million dollar loan from a Chinese bank to buy off all the investors, and Perfect World will be merged into a new company called Perfect Peony Holding Co., which is located in the Cayman Islands.

Doesn't sound fishy at all. Doesn't sound fishy a siiiingle bit....lol

i concur. Big scams incoming.

So, business as usual then in all PWE games ? 

I doubt it. PWE had a lay-off recently. Smelling a restructuring inside the company.

Kettz

If you've been following PWE's news you'll notice that they are starting to put more resources into mobile game development. They are making Swordsman and Forsaken World mobile versions. 

 

SpottyGekko

Originally posted by Kettz

If you've been following PWE's news you'll notice that they are starting to put more resources into mobile game development. They are making Swordsman and Forsaken World mobile versions. 

 

Not surprising really, mobile games probably have the best ROI in the games industry. Cheap and quick to make, with the potential to earn billions.

 

I'm sure the chairman will be trying to maximise profits to pay back that $900M loan...

Kumapon

Yea that $900M loan, holy hell! For a game company. How the hell does one swing that? Are they really pulling in enough to pay that back? I bet Curt Schilling would crap his pants if he saw this.

jdlamson75

Originally posted by Kumapon

 I bet Curt Schilling would crap his pants if he saw this.

That's the first thing that came to mind when I saw that $900m figure.  Poor old Curt.  Stuck in a broadcasting booth with Kruk.  Funny as hell together, though.

kitarad

May be they want to develop games for the Iwatch. Lots of buyers in China with those watches or have ordered them

lwgt12

Originally posted by SpottyGekko

Originally posted by Kettz

If you've been following PWE's news you'll notice that they are starting to put more resources into mobile game development. They are making Swordsman and Forsaken World mobile versions. 

 

Not surprising really, mobile games probably have the best ROI in the games industry. Cheap and quick to make, with the potential to earn billions.

 

I'm sure the chairman will be trying to maximise profits to pay back that $900M loan...

Mobile games are like cash printer today. I mean in China, a mediocre mobile game can make about $5 million a month. Forsaken World's mobile version is certainly going to release in China and bring huge profits to the company.

goboygo

Gaming is no longer about providing the best experience for players.  Developers have quickly learned that people are just as interested in staring at a 4 inch screen and dragging their greasy fingers across it as they are sitting behind a 24 inch monitor with a keyboard mouse and 5.1 sound.

Its the addiction they are delivering not the experience, and you can deliver that addiction on 4 inch monitors all day long.

patlefort

It's the casual gamers they've always wanted. They don't have much time for games and they have alot of money.

jdnewell

Originally posted by goboygo

Gaming is no longer about providing the best experience for players.  Developers have quickly learned that people are just as interested in staring at a 4 inch screen and dragging their greasy fingers across it as they are sitting behind a 24 inch monitor with a keyboard mouse and 5.1 sound.

Its the addiction they are delivering not the experience, and you can deliver that addiction on 4 inch monitors all day long.

Very true.

 

And that is why the only mobile game I play is the free version of Tetris.

DijonCyanide

 

  I play their Star Trek Online.  Not as much as I used to, but I still play it and it is still a good game.  Over the last year, maybe year and a half, there has been a definite change in the approach of the game.  Some of the changes I like and some not like at all.  On my paid account and because of some of the changes that affected me negatively I stopped buying in-game currency altogether.  My protesting with my wallet ... not that it matters.   I always wanted to begin their Neverwinter, but had not got to it and now wont.  There is a Asian Martial Arts themed game they have too I always planned on playing, but not planning to now for the same reasons.  I had always thought in the long term that having Star Trek Online, Neverwinter, that Martial Arts themed MMO, and if they added an apocalyptic type maybe zombie survival type game it would had been nice to have all the games in the same spot, but oh well.  Maybe this is good for their games' future and us as gamers, and maybe it is not.  They lost me as a regular Zen purchasing customer last summer.   

Sovrath

Originally posted by bloodborne12

So, business as usual then in all PWE games ? 

I doubt it. PWE had a lay-off recently. Smelling a restructuring inside the company.

Well, now wait a minute ... Companies lay off employees even though they do "well". But just not well enough to satisfy their projections, what analysts predict, etc.

Heck, I was in a lay off where the company was doing fine but we missed our projections and didn't grow as much as they had anticipated. So they laid people off.

Going public is great for getting an initial flow of cash but you do have a lot of pressure to grow and keep that stock price high.

My thought is that they don't want that pressure anymore, they probably believe that with their current sales/income they will be doing better and can run their business better.

 

maybebaked

I really like Neverwinter and Star Trek Online, until you get to endgame and realize how much money you have to spend. I can see this news having a negative impact on their games, especially if they are going to concentrate on mobile like a lot of companies are trying to do these days.

Dibdabs

Originally posted by bloodborne12
Don't know how many people notice this news. Since I am playing Neverwinter now I am concerned about the game as well as Cryptic's future. Anyone currently play PWE games has the same concern? 

Not in the slightest.  It's just a computer game, as is STO, etc., and as such isn't worth breaking into a sweat over. I have a few game accounts with them but nothing I'd be bothered about deleting or losing.

bloodborne12

Originally posted by Dibdabs

Originally posted by bloodborne12
Don't know how many people notice this news. Since I am playing Neverwinter now I am concerned about the game as well as Cryptic's future. Anyone currently play PWE games has the same concern? 

Not in the slightest.  It's just a computer game, as is STO, etc., and as such isn't worth breaking into a sweat over. I have a few game accounts with them but nothing I'd be bothered about deleting or losing.

I was worried about the potential affect to the game's customer service more than losing account since I am not sure the impact the buyout has on Neverwinter.

Kyleran

Originally posted by Sovrath

Originally posted by bloodborne12

So, business as usual then in all PWE games ? 

I doubt it. PWE had a lay-off recently. Smelling a restructuring inside the company.

Well, now wait a minute ... Companies lay off employees even though they do "well". But just not well enough to satisfy their projections, what analysts predict, etc.

Heck, I was in a lay off where the company was doing fine but we missed our projections and didn't grow as much as they had anticipated. So they laid people off.

Going public is great for getting an initial flow of cash but you do have a lot of pressure to grow and keep that stock price high.

My thought is that they don't want that pressure anymore, they probably believe that with their current sales/income they will be doing better and can run their business better.

 

But what happens in many buyouts such as this is in order to pay down the loan some assets are sold off so perhaps they'll turn around and split the business up some?