Target Information

Chess24, established in 2014, emerged from our corporate group and successfully merged with Play Magnus in 2019. This merger marked a pivotal moment for both entities, as they combined resources and expertise within the chess community.

Following these developments, we are pleased to announce our debut on the stock exchange. As a part of the Initial Public Offering (IPO), we sold a portion of our stake in Chess24.

Industry Overview in Norway

The chess industry in Norway has experienced a remarkable rise in popularity over the past decade, largely attributed to the success of Magnus Carlsen, the reigning World Chess Champion. His influence has not only highlighted the game but also attracted new players and enthusiasts, significantly enhancing the sport's visibility.

In addition, Norway has seen a surge in chess-related events and tournaments, which have drawn international attention. The government and various local organizations have invested in promoting chess at grassroots levels, fostering a new generation of players.

The digital transformation of the chess industry, with platforms like Chess24 leading the charge, has revolutionized how the game is played and consumed. Online tournaments and streaming services have broadened access and engagement with the sport.

Overall, the confluence of increased interest from the public, investment in digital platforms, and the success of Norwegian players indicates a robust and growing chess ecosystem within the country.

Rationale Behind the Deal

The sale of a portion of our stake during the IPO reflects our strategic approach toward realizing cash from our investment in Chess24 while maintaining a significant stake in the company. This move allows us to capitalize on the company's growth and the ongoing popularity of chess.

Moreover, this transition marks a strategic shift toward enhancing our financial position and unlocking value for our investors, given the perceived increasing demand in the chess market.

Information About the Investor

The investor behind this transaction has a strong background in the digital economy and entertainment sectors, with a keen interest in disruptive technologies and emerging markets. Their investment strategy often focuses on high-growth potential companies that benefit from technological advancements.

Given their previous investments in gaming and education platforms, the investor is well-positioned to leverage Chess24's unique market position and drive future growth through strategic initiatives and expanding user engagement.

View of Dealert

Assessing this investment, it appears to be a strategically sound decision. The chess industry, backed by the success of influential players and the growing digital landscape, presents considerable opportunities for growth and profitability.

Additionally, the successful completion of the IPO strengthens Chess24's position in the market, providing them with the necessary capital to invest in further innovations, expand their user base, and enhance their offerings.

Ultimately, this deal represents not only a timely exit for part of our investment but also positions us favorably regarding future developments in the rapidly evolving chess industry. The increasing global awareness and interest in chess indicate that the potential for further investment returns is promising.

In summary, this strategic exit and acknowledgment of industry trends are likely to benefit stakeholders in the long run, making it a compelling investment opportunity.

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