Electronic Arts will purchase mobile game developer Glu Mobile in a deal price $2.4 billion. Glu shareholders will obtain $12.50 in money for every share they maintain, a 36% premium over the closing share worth on February 5 (be aware: Glu has $364 million in internet money).
Glu Mobile is recognized for informal video games (together with many board game conversions), celebrity-themed video games (together with Kim Kardashian: Hollywood and a Taylor Swift social community), sports activities video games and lots of extra. The typical Glu game is free-to-play and makes cash on micro-transactions.
The mixed EA/Glu portfolio introduced in $1.32 billion in bookings over the past 12 months. This acquisition will assist increase EA’s participant base (greater than 100 million month-to-month energetic gamers of mobile video games).
As for Glu, it would profit from EA’s world licensing and distribution capabilities, the press launch mentions Design Home, Covet Fashion and MLB Tap Sports Baseball specifically (as you in all probability effectively know, EA Sports is huge and that requires a ton of licensing offers).
Glu has almost 800 staff of which greater than 500 are mobile game builders. EA is aware of Glu’s artistic leaders and will likely be taking a hands-off strategy
“Mobile continues to grow as the biggest gaming platform in the world, and with the addition of Glu’s games and talent, we’re doubling the size of our mobile business. With a deep IP portfolio and an expanding global audience, we’ll deliver more exciting experiences for our players and drive further growth for Electronic Arts,” says Andrew Wilson, CEO of Electronic Arts.