Opera Software, the company behind once hugely popular Opera browsers for smartphones (and web), is now looking for a potential buyer after a ‘strategic review’ in second half of year, said the company board in an announcement.
The board further added that the decision was in response of the interest of various parties in buying the company and the process would be aided by bankers at Morgan Stanley International and ABG Sundal Collier.
In a separate announcement of financial reporting , Opera showed a 45% increase in the second quarter growth on an year to year basis recording $146 million which fell short of the expected mean 51% growth predicted by Reuters on the basis of a poll from seven analysts. In addition to it, it decreased the yearly revenue for 2015 from $635-$650 million to $600-618$ million.
It also decreased the full year adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) from the expected $130-$140 million range to $108-$118 million range after it recorded $29 million EBITDA in second quarter as opposed to the forecast of $30.6 million. The miss in numbers according to the company is caused by weaker performance in mobile advertising business.
Opera web browsers have been known for their fast performance and reportedly less data usage. In fact in the era of Nokia and Symbian, Opera used to have nothing less than a monopoly when it came to its mobile browsers which has been in existence before Android came and conquered Symbian.
Although Opera Web Browser continues to have a loyal fan base, Opera has consistently fallen back behind its counterparts Chrome and Mozilla and has been struggling to retain its customer base.
Moreover, exits by top company execs, including co-founder Jón S. von Tetzchner (who has now formed a new web browser Vivaldi) severly dented company’s image. Jón had openly said that Opera was not focussed towards its previous vision of developing more user-centric web browsers, and that the company had shifted focus to more profit-seeking ventures.
In February, its share value fell down by 44% in one day signalling a danger sign of low growth. It recently acquired BeMobi, a mobile app and games subscription service based in Latin America for $139.5 million, paying $29.5 million in cash with rest amount to be recovered from the future financial results of the firm.