GN Store Nord buys gaming firm Steelseries in $1.25 bln deal

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COPENHAGEN, Oct 6 (Reuters) – Danish listening to assist and headset maker GN Store Nord (GN.CO) stated on Wednesday it could purchase gaming gear firm Steelseries from Nordic personal fairness firm Axcel in a deal value 8 billion Danish crowns ($1.25 billion).

“We have for some time searched for the right way for GN to enter the very interesting gaming market, being keenly interested in the ‘high-end’ segment,” stated René Svendsen-Tune, chief government of GN Audio, the corporate’s headset unit.

Steelseries employs round 350 folks in places of work in Denmark, France, the United States, China and Taiwan, and had a income of two.2 billion crowns final yr.

In the primary half of 2021, Steelseries posted income of 1.3 billion and an earnings earlier than curiosity, tax and amortisation (EBITA) margin of 14.0%.

GN stated it anticipated to reap operational synergies from the merger of about 150 million crowns yearly by 2022.

The deal is topic to regulatory approvals and is predicted to shut early subsequent yr.

GN Store Nord on Tuesday minimize its 2021 income development forecast for its listening to assist unit to round 16% from 25% citing postponed product launches, sending its shares down.

($1 = 6.4225 Danish crowns)

Reporting by Nikolaj Skydsgaard and Stine Jacobsen; Editing by Louise Heavens and Edmund Blair

A ReSound LiNX mock-up is pictured in Vienna November 22, 2013. Heinz-Peter Bader