Activision Purchases Candy Crush Developer ‘King’ For $5.9 Billion
Activision Blizzard has today announced their agreement to purchase Candy Crush developer King Digital Entertainment, for a hefty $5.9 billion. The publisher announced this through an official press release, together with their financial results for the 3rd quarter of fiscal year 2015.
According Activision, "the addition of King's highly-complementary business further positions Activision Blizzard for growth across platforms, audiences, genres, and business models".
Through the purchase, Activision believes to become "crowned a leader in interactive entertainment". Bobby Kotick, Chief Executive Officer of Activision Blizzard, said, "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."
Combining expertise to bring the best games to millions of players worldwide
King also expressed their excitement concerning the deal. Riccardo Zacconi, Chief Executive Officer of King, said, "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."
Gerhard Florin, Chairman of King's board of directors, said, "The Acquisition provides a return to King shareholders through the premium that it provides to King's share price and the immediate liquidity that the Acquisition will provide to all of our shareholders upon completion. The King board of directors believes that Activision Blizzard's cash offer is attractive given the balance of future opportunities, risks and competitive forces confronting King's business."
King is the largest game developer in history of Facebook, and prior to releasing Candy Crush for mobile devices, the game was only playable on Facebook. Since 2011, King has developed 12 Facebook games, 11 mobile titles, and 2 titles for Windows PC. The company has won several awards, including one for the fastest-growing UK company.
For the full press release, I suggest you check out this post on the official Activision Blizzard website.