Remedy Entertainment Oyj

Remedy Entertainment Plc has signed a EUR 15 million unsecured convertible loan agreement with an affiliate of Tencent Holdings Limited. The loan has an 8% annual non-cash interest and a fixed conversion rate of EUR 27.2 per share, representing a 63.86% premium over the closing price of Remedy’s shares on September 26, 2024. The loan is subject to approval by Remedy’s Extraordinary General Meeting, expected by October 24, 2024. The funds will be used to support Remedy's move towards self-publishing and developing its games. Remedy’s CEO, Tero Virtala, stated that Tencent’s investment indicates strong confidence in the company's long-term strategy. Aream & Co acted as the financial advisor for the transaction. Remedy Entertainment is known for its successful video game franchises and is listed on Nasdaq Helsinki.

Remedy Entertainment Plc has announced a strategic partnership with Annapurna Pictures. Under the agreement, Annapurna will finance 50% of the development budget for the upcoming video game Control 2 and will gain rights to expand the Control and Alan Wake franchises into film and television. Remedy will receive a greater share of game sales revenue after initial investments are recouped, while Annapurna will receive a greater share of revenue from audiovisual productions. Annapurna will lead the expansion into new entertainment mediums, allowing Remedy to focus on game development. Remedy retains full IP rights for Control and Alan Wake. The partnership aims to integrate gaming, film, and television to explore new storytelling methods.

Remedy Entertainment Plc reported its unaudited financial results for the first half of 2024. The company saw a 16% increase in revenue in Q2 2024 compared to the same period in 2023, reaching EUR 10.3 million. This growth was driven by higher development fees, particularly from the Max Payne 1&2 remake. Despite the revenue increase, the company posted an operating loss of EUR 3.2 million, an improvement from the previous year's loss of EUR 4.8 million. Key highlights include the release of the Night Springs expansion for Alan Wake 2, which received excellent reviews, and the announcement of the Physical Deluxe Edition and Collector’s Edition of Alan Wake 2, set to release in October and December 2024, respectively. Remedy also announced that Control Ultimate Edition will be available on Apple silicon Macs in 2024. The company has several projects in various stages of development: Codename Condor is in full production, Control 2 has reached the production readiness stage, and the Max Payne 1&2 remake has moved to full production. Remedy is considering self-publishing and other business models for its future games. The company expects revenue and operating profit to improve in 2024, with specific details to be provided once decisions on publishing models for Control 2 and Condor are made. Remedy will host a webcast and conference call on August 9, 2024, to discuss these results. The report and webcast details are available on Remedy's Investor website.

Remedy Entertainment Plc has appointed Santtu Kallionpää as Chief Financial Officer (CFO) and a member of its core management team, effective October 14, 2024. Kallionpää, who previously served as VP Finance and Business Control at Fazer Confectionery, will report to CEO Tero Virtala and be based in Finland. He holds a master's degree in engineering from Helsinki University of Technology. Kallionpää replaces former CFO Terhi Kauppi, who left the company in June 2024. Remedy Entertainment is a globally renowned video game company known for franchises like Control, Alan Wake, and Max Payne.