Gaming peripheral maker Razer submitted preliminary filing for an IPO on the Hong Kong Stock Exchange. A recent venture capital round valued Razer at close to $2 billion and the company wants to raise $600 million with its IPO. It is a bit curious that US-based Razer is going public in the more loosely regulated Hong Kong market, but according to the company they're doing this because they want to expand in Asia.
AnandTech took a look at the documents and reports Razer did not generate a lot of profit in recent years as the company acquired a lot of companies and tripled its R&D budget:
The company plans to raise $600 million for future growth, particularly in Asia. In addition, the funding is supposed to improve the company’s overall march with investments in R&D as well as the brand. Razer's recent financial filings indicate Razer operated at a $20m profit in 2012-2013, but ran a loss of ~$70m in 2015-2016 because of multiple acquisitions as well as a tripling in R&D activities with a small uptick in revenue.