Glu reiterates that it has no current intention to raise additional
Glu Mobile Inc. (Nasdaq: GLUU), a leading global developer and publisher
of freemium games for smartphone and tablet devices, reiterated that it
has no current intention to raise additional capital in 2012 through an
offering of any kind. The prospectus supplement that the company filed
today with the Securities and Exchange Commission related solely to the
sale of a warrant to purchase 50,000 shares of Glu's common stock that
was issued in Glu's August 2010 private placement transaction by the
original warrant holder. Glu fulfilled its contractual obligation under
the private placement agreements to file a prospectus supplement to name
the new holder of the transferred warrant. The filing of the prospectus
supplement is wholly unrelated to Glu's acquisition of the Deer Hunter®
brand assets that it announced earlier today and is not an indication
that Glu intends to raise any additional capital.
"As I stated during our last earnings conference call, we anticipate
reaching profitability without needing to access the equity capital
markets or incur any debt," said Niccolo de Masi, Glu President and CEO.
"As part of our announcements related to the Deer Hunter transaction
earlier today we reiterated our expectations of reaching profitability
with a net cash balance in the double digit millions. We have no need
nor current intention to raise capital."
Cautions Regarding Forward-Looking Statements
This news release contains forward-looking statements, including that we
anticipate reaching profitability without needing to access the capital
markets or incur any debt and with a net cash balance in the double
digit millions. These forward-looking statements are subject to material
risks and uncertainties that could cause actual results to differ
materially from those in the forward-looking statements. Investors
should consider important risk factors, which include: our cash usage in
2012 may be greater than we currently anticipate; the risk that consumer
demand for smartphones, tablets and next-generation platforms does not
grow as significantly as we anticipate or that we will be unable to
capitalize on any such growth; the risk that we do not realize a
sufficient return on our investment with respect to our efforts to
develop freemium games for smartphones, tablets and next-generation
platforms, the risk that our development expenses for games for
smartphones are greater than we anticipate; the risk that our recently
and newly launched games are less popular than anticipated; the risk
that our newly released games will be of a quality less than desired by
reviewers and consumers; the risk that the mobile games market,
particularly with respect to freemium gaming, is smaller than
anticipated; and other risks detailed under the caption "Risk Factors"
in our Form 10-K filed with the Securities and Exchange Commission on
March 14, 2012 and our other SEC filings. You can locate these reports
through our website at http://www.glu.com/investors.
We are under no obligation, and expressly disclaim any obligation, to
update or alter our forward-looking statements whether as a result of
new information, future events or otherwise.
Glu Mobile (NASDAQ:GLUU) is a leading global developer and publisher of
freemium games for smartphone and tablet devices. Glu's unique
technology platform enables its titles to be accessible to a broad
audience of consumers all over the world - supporting iOS, Android,
Windows Phone, Google Chrome and beyond. Glu is focused on bringing the
best in freemium, cross-platform mobile gaming experiences to the mass
market. Founded in 2001, Glu is headquartered in San Francisco and has
major offices in Kirkland, Washington, Brazil, Canada, China, Russia and
the UK. Glu is focused on creating compelling original IP and also
partners with leading entertainment brands including Activision, Caesars
and Fox. Consumers can find high-quality entertainment created
exclusively for their mobile devices wherever they see the 'g' character
logo or at www.glu.com.
For live updates, please follow Glu via Twitter at www.twitter.com/glumobile or
become a Glu fan at www.facebook.com/glumobile.
DEER HUNTER, GLU, GLU MOBILE and the 'g' character logo are trademarks
of Glu Mobile Inc.
Investor Relations Contact
Seth Potter, (646)