SCHEDULE: B. Riley Financial Boosts DoubleDown Interactive Stake to 7.5%

B. Riley Financial, Inc. and its affiliates, including Bryant Riley, disclosed a combined beneficial ownership of 7.5% in DoubleDown Interactive Co., Ltd. American Depositary Shares.

Summary

• B. Riley Financial, Inc. (BRF), BRF Investments, LLC (BRFI), B. Riley Securities, Inc. (BRS), and Bryant Riley reported beneficial ownership in DoubleDown Interactive Co., Ltd. through an Amendment No. 7 to a Schedule 13G.
• The total number of common shares outstanding used for percentage calculation is 2,477,672, based on the issuer's final prospectus filed on September 30, 2025.
• B. Riley Financial, Inc. beneficially owns 172,525.15 common shares, representing 7.0% of the class.
• BRF Investments, LLC directly owns 170,691.55 common shares (3,413,831 American Depositary Shares), representing 6.9% of the class.
• B. Riley Securities, Inc. directly owns 1,833.60 common shares (36,672 American Depositary Shares), representing 0.1% of the class.
• Bryant Riley, individually and through various holdings (including BRFI, BRS, joint holdings, and custodian accounts), beneficially owns 185,250.10 common shares, representing 7.5% of the class.
• The reporting persons certified that the securities were not acquired for the purpose of changing or influencing control of the issuer.

Sentiment

Score: 7

Explanation: The disclosure of a 7.5% beneficial ownership by B. Riley Financial and its affiliates, including Bryant Riley, suggests a strong investment conviction in DoubleDown Interactive. While passive, such a substantial stake from a well-known financial entity can be viewed favorably by the market, indicating confidence in the company's value or future prospects.

Positives

• A significant beneficial ownership stake (7.5%) by B. Riley Financial and its affiliates, including prominent investor Bryant Riley, signals confidence in DoubleDown Interactive Co., Ltd.
• The investment group's certification that the stake is not for control purposes suggests a passive, investment-oriented position, which can be viewed as a stable long-term holding.

Risks

• The reporting persons certified that the securities were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer, nor in connection with any transaction having that purpose or effect, other than activities solely in connection with a nomination under §§ 240.14a-11.

Future Outlook

NA

Management Comments

• "I certify that, to the best of my knowledge and belief, the securities referred to above were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities and were not acquired and are not held in connection with or as a participant in any transaction having that purpose or effect, other than activities solely in connection with a nomination under §§ 240.14a-11."

Industry Context

This filing indicates a significant investment by a diversified financial services company in a mobile gaming company. Such investments can reflect a belief in the long-term growth potential of the mobile gaming sector or specific value in DoubleDown Interactive's assets or operations, potentially signaling broader investor interest in the digital entertainment space.

Related Party Transactions

• B. Riley Financial, Inc. is the parent company of BRF Investments, LLC and B. Riley Securities, Inc.
• Bryant Riley is Co-Chief Executive Officer of B. Riley Financial, Inc. and an authorized signatory for BRF Investments, LLC, and also holds shares individually and through family accounts, demonstrating a consolidated ownership structure within the B. Riley group.

Stakeholder Impact

• **Shareholders**: May view the significant stake by B. Riley Financial as a vote of confidence, potentially leading to increased investor interest or stability in the stock price.
• **Management**: The presence of a large, passive institutional investor could influence strategic decisions, though the filing explicitly states no intent to control, suggesting a supportive rather than interventionist role.

Key Dates

Recommendation

The filing indicates a substantial, passive investment by B. Riley Financial and Bryant Riley in DoubleDown Interactive. This suggests confidence from a respected financial entity, which can be a positive signal for the market. While not an active control play, such a significant stake can provide a floor for the stock and attract other investors. However, without additional financial or operational details from DoubleDown Interactive, a 'hold' recommendation is prudent, acknowledging the positive signal of the investment while awaiting further fundamental analysis to assess the company's intrinsic value and growth prospects.

Keywords

DoubleDown Interactive, B. Riley Financial, Bryant Riley, Schedule 13G, Beneficial Ownership, ADS, Gaming, Investment, SEC Filing