(Yicai Global) Dec. 2 -- Shares in Razer tumbled as much as 13.5 percent today after the Singaporean computer hardware maker said it has received a cash offer of HKD10.8 billion (USD1.4 billion) to take it private as its Hong Kong listing has failed to deliver.

Razer's stock [HKG:1337] closed down 7.87 percent at HKD2.46 (USD0.40). Earlier in the day it had slumped to HKD2.31.

A consortium led by the firm’s founders has offered to take Razer private at a price of HKD2.82 (USD0.40) per share, the Singapore-based company said yesterday.

Razer's stock has been trading below its offer price of HKD3.88 for the past four years. Despite record revenue in the first half, trading volume remains low and it is impossible to see any sign of improvement in the near future, it said.

By going private, Razer will have more flexibility to develop new businesses, Razer said. Best known for its gaming laptops, gaming tablets and PC peripherals, the company has been looking to expand into other areas such as software and mobile payments. However, the move was deemed high risk as it is likely to affect short-term profitability and its stock price.

Razer logged a 68 percent jump in revenue in the six months ended June 30 from the same period last year to an all-time high of USD752 million, 90 percent of which came from its hardware sales. Its software business is also on the rise, with user accounts surging 50 percent in June year on year to 150 million.

Editor: Kim Taylor