Nitro Games: Secured cash-flows likely not enough

Moving forward Nitro Games will generate cash flows from its service business in its “work for hire” project with Avalanche Studios. Nitro Games has also received a positive decision from Business Finland to receive approximately EUR 1.6 million of funding for a mobile esports project. The funding will be in the form of a so-called soft loan. According to our estimates, Nitro Games will have to increase the cash position during Q3-Q4 2019. However, the company has been successful before in finding external financing without punishing existing shareholders.