Video game company Activision announced recently the purchase of mobile game developer King for $5.9 billion.
King titles, such as mega-hit Candy Crush Saga, are some of the biggest and most lucrative game apps on the market today. King also owns popular apps such as Farm Heroes Saga, Candy Crush Soda Saga and Bubble Witch 2 Saga.
Activision acquires all outstanding shares of King for $18 per share — a total equity of $5.9 billion.
Since passing Zynga in the Facebook app ecosystem in 2013, King has emerged as the leader in mobile gaming.
Activision Blizzard CEO Bobby Kotick commented on the acquisition in a press release:
The combined revenues and profits solidify our position as the largest, most profitable standalone company in interactive entertainment. With a combined global network of more than half a billion monthly active users, our potential to reach audiences around the world on the device of their choosing enables us to deliver great games to even bigger audiences than ever before.
Riccardo Zacconi, CEO of King, discussed the company’s growth and the reasoning behind the acquisition:
We are excited to be entering into this Acquisition with Activision Blizzard. Since 2003, we have built one of the largest player networks on mobile and Facebook, with 474 million monthly active users in the third quarter 2015, and our talented team has created some of the most successful mobile game franchises.
We believe that the Acquisition will position us very well for the next phase of our company’s evolution and will bring clear benefits to our players and employees. We will combine our expertise in mobile and free-to-play with Activision Blizzard’s world-class brands and proven track record of building and sustaining the most successful franchises, to bring the best games in the world to millions of players worldwide. We are very much looking forward to working with Activision Blizzard.
We have two teams that, together, will have an amazing footprint, innovative technology, and leadership across platforms, and unique, established IPs to delight one of the largest networks of players in the world.
Readers: How do you feel about the future of Candy Crush Saga and other King titles?