DBG CEO Ji Ham Takes Over as EG7's Acting CEO

Discussion in 'The Veterans' Lounge' started by Atomos, Aug 27, 2021.

  1. Atomos Augur


    "It has not even been a year since EG7 Global acquired Daybreak Game Company for $300 million, and now the parent corporation is promoting one of Daybreak’s leaders to its own C-suite. EG7’s board announced that “effective immediately” it is removing current CEO (and EG7 co-founder) Robin Flodin and replacing him with Daybreak CEO Ji Ham.
    Ji Ham is now the acting CEO as EG7 commences a search for a new permanent CEO for the company. EG7 said that Flodin will stay on for a half-year to help Ham get acclimated to this new position. So why Ham for the role? The company said that he oversaw “extensive growth and profitability” during his tenure as CEO of Daybreak.

    No reason was stated for Robin Flodin’s departure. He’d certainly improved the playerbase’s opinion of Daybreak thanks to his down-to-earth video outreach, but clearly, we don’t have the whole story.
    EG7 Chairman of the Board Alexander Albedj propped up the company’s new interim leader: “The transition to new leadership is a natural part to be even more successful in the next phase of growth. Ji has experience in leading and growing gaming groups with a global reach as well as an extensive and highly successful background in strategic and synergistic acquisitions in gaming.”"
    Nennius and MasterMagnus like this.
  2. Metanis Bad Company

    We needed a fly on the wall. The stock price is going crazy in the wrong direction.
  3. Alnitak Augur

    The stock is going in the right direction. EG7 is effectively a shell around DBG (from financial prospective), which is worth about $300 mil. Current EG7 market cap is around $550 mil, it's about to go down 40%. The hype surrounding DBG purchase is calming down and market valuation is returning to it's mean.
    The board's move is very reasonable.
  4. Skrab East Cabilis #1 Realtor

    MasterMagnus likes this.
  5. Svann2 The Magnificent

  6. Sissruukk Rogue One

  7. Accipiter Old Timer

    Sorry, but that's a ridiculous analysis. What about all the other companies EG7 owns? What is their valuation? Probably more than $250 million.
  8. Skuz I am become Wrath, the Destroyer of Worlds.

    So, Flodin sold enough shares to give himself a cushion to fall on before he was pushed out.
  9. Accipiter Old Timer

    Wow, I guess. Looking back a few years, EG7 stock spent most of its time below $1. It jumped up to $12 in 2020. It almost has the feel of a meme stock. Given it's past price history, $4 is actually not a bad price.
    Corwyhn Lionheart likes this.
  10. Benito EQ player since 2001.

    I'm cautiously optimistic because the EG7 portfolio has actual products and not vaporware or concepts. The cost of developing AAA game titles has risen to the hundreds of millions and billions of dollars. The phase I would be concerned about is the allocation of cash flow.

    I would be more concerned if we were in the predicament of Pantheon MMO, Star Citizen, and, to a lesser degree, Ashes of Creation.

    EG7 is not an overpromising tech unicorn like Theranos or Nikola. EG7 has not invoked risky projects like Voxels and Storybricks in relation to EQNext.
  11. Accipiter Old Timer

    You're off a few zeros. The range for a AAA title is generally $20 million to $80 million.
  12. Skrab East Cabilis #1 Realtor

    Star Citizen — $360m USD.

  13. Svann2 The Magnificent

  14. Benito EQ player since 2001.

    The hundreds of millions of dollars for AAA development number comes from Shawn Lord's Twitch interviews with Bill Fisher.

    Both are experienced devs. I have no reason to question their assessment.
  15. Accipiter Old Timer

    Those few AAAA titles (I added an A because it seems we need another level) that are over $100m are pretty unique (big franchises or big money behind them). The vast majority are less than $100m. So I concede the point... in part. ;)
  16. I_Love_My_Bandwidth Mercslayer

    While this might be skewed a bit too far towards the dark side, I am inclined to mostly agree. This move is likely THE signal that EG7 is eschewing their pass-fake, 'wink and nod' to the gamers and instead are consolidating top resources in the name of corporate efficiency.
    MasterMagnus likes this.
  17. MasterMagnus The Oracle of AllHigh

    :p well well well, what have we here? :p
    I_Love_My_Bandwidth likes this.
  18. Skuz I am become Wrath, the Destroyer of Worlds.

    Forum users can call the dev team a bunch of crooks and the posts are up months later, but if you mention the power brokers in a way that reflects a grain of truth going on then that post is buried fast.

    (aka don't bring up the shell companies the CEO & Major shareholder "used to" work for)
    MasterMagnus likes this.
  19. Benito EQ player since 2001.

    In fairness, it is standard that personnel discussions (from bottom to top) are not permitted on most privately-owned forums (games, news sites). Specifically, naming individuals (real life names) and lodging accusations...
    MasterMagnus likes this.
  20. MasterMagnus The Oracle of AllHigh

    Certainly well within their rights to take action against that.

    here we are.