Electronic Arts, the North American interactive entertainment company, says it has acquired Glu Mobile Inc., a global developer and publisher of mobile games, for $2.1B USD in enterprise value. The provisions of this acquisition will see Glu stockholders (NASDAQ: GLUU) receive $12.50 in cash per share which amounts to a 36% premium in Glu’s closing share price on Feb. 5, 2021. Immediately upon closing (expected to be June, 2021), the acquisition will be added to EA’s total net bookings.
Glu Mobile, founded in 2001, is a mobile game developer known for a portfolio of popular genres of mobile games, including sports, RPG, lifestyle, casual, and mid-core games, most notable of those being Kim Kardashian: Hollywood, Design Home, Covet Fashion, and MLB Tap Sports Baseball. The company houses a team of more than 500 mobile game developers with a focus toward EA titles looking to enter into or expand their mobile player bases.
EA has been looking toward the mobile gaming space for some time. In 2011, the company acquired Firemint, the creators of Flight Control and Real Racing, and Chillingo, publishers of Angry Birds.
Perhaps related, and in another addition to the company’s portfolio, is that EA reached an acquisition announcement with the U.K.-based racing game developer and publisher Codemasters, with that acquisition anticipated to be completed in Q1 2021. Codemasters is the company behind gaming titles such as the Project Cars and DIRT racing car franchises.
Source: Read Full Article