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Dave & Busters Rises in Debut (NASDAQ: PLAY)

dave and bustersDave & Busters (NASDAQ: PLAY) the restaurant and arcade chain rose 15% during its market debut, valuing the chain at more than $700 million.

In the initial public offering the restaurant and arcade chain raised approximately $94 million when its share had a price of $16 apiece, which was the bottom end of a range between $16 and $18.

Stephen King the CEO of the company said he was not concerned by the changes within the gaming industry that are technology based.

He said if it is console games or phone games, we can make it bigger, better, exciting and more dynamic that anyone can pull off in their own home.

King made the comments on the Squawk Alley show on CNBC on Friday.

He added that the majority of the company’s revenue is generated out of redemption – games that give players the opportunity to win different prizes

The restaurant and arcade chain has attempted previously to go public. However, King said it did not due to bad timing.

King added that the third time was the charm for the company since everything is much better than the last time they had thoughts of going public.

The company’s overall business is larger, the margins are better and the projection for growth of new stores is about 10% for this year, it is on track and is well established.

David & Busters expects to be opening as many as 200 new stores across the United States and Canada during the near future.

The company is also planning to expand into markets that are untapped including Tampa, Seattle and Portland.

Dave & Busters, which Oak Hill Capital the private equity firm controls, sold all 5.88 million of the share it had on offer.

Shares opened on Nasdaq at $17 and were as high as $18.83 on the day.

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