Opera and 360 agree on share repurchase, subject to 360's shareholder approval

Opera Limited (NASDAQ: OPRA) announced an agreement to acquire a 20.6% stake from pre-IPO shareholder Qifei International Development Co. Ltd. for $128.6 million in cash.

Rhea-AI Summary

Opera Limited (NASDAQ: OPRA) announced an agreement to acquire a 20.6% stake from pre-IPO shareholder Qifei International Development Co. Ltd. for $128.6 million in cash. The deal values the share price at $5.50 per American Depositary Share (ADS). The transaction requires approval from 360's shareholders at a scheduled meeting on October 10, 2022, with an expected closing within 10 business days post-approval. This move is pivotal for Opera, potentially enhancing shareholder value and consolidating control.

Positive

• Acquisition of a 20.6% stake enhances Opera's control.
• Investment of $128.6 million may boost shareholder value.

Negative

• Potential opportunity cost associated with significant cash outflow.

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OSLO, Norway, Sept. 23, 2022 /PRNewswire/ -- Opera Limited (NASDAQ: OPRA) ("Opera"), one of the world's major browser developers and a leading internet consumer brand, today announced that it has entered into an agreement with its pre-IPO shareholder Qifei International Development Co. Ltd., a wholly owned subsidiary of 360 Security Technology Inc. (601360:CH) (hereinafter, "360") to acquire 360's entire shareholding in Opera for $128.6 million in cash.

360 currently holds a 20.6% stake in Opera. The purchase price is equal to $5.50 per ADS, as 360 holds 46.75 million ordinary shares of Opera, equivalent to 23.375 million ADSs. 360's representative on Opera's Board of Directors will resign upon the closing of the transaction.

The potential transaction is subject to the approval of 360's shareholders at a shareholder meeting scheduled for October 10, 2022. The transaction is expected to close within 10 business days of shareholder approval.

About Opera

Opera is a global web innovator. Opera's browsers, gaming, Web3 and news products are the trusted choice of hundreds of millions of users worldwide. Opera is headquartered in Oslo, Norway and listed on the NASDAQ stock exchange (OPRA). Download the Opera browser from www.opera.com.

Learn more about Opera at investor.opera.com or on Twitter @InvestorOpera.

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SOURCE Opera Limited

FAQ

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What is the purpose of Opera's acquisition of shares from 360?

Opera aims to consolidate control by acquiring a 20.6% stake from 360, which may enhance shareholder value.

How much is Opera paying for the shares from 360?

Opera is paying $128.6 million for the shares, at a price of $5.50 per ADS.

When will the transaction be finalized?

The transaction is expected to close within 10 business days following shareholder approval on October 10, 2022.

What percentage of shares is Opera acquiring from 360?

Opera is acquiring a 20.6% stake from 360.