Activision Blizzard acquires Candy Crush maker King for 59 billion

first_imgBobby Kotick has secured the position of largest interactive entertainment company for Activision Blizzard’s this week by acquiring King Digital Entertainment, and with it taking control of Candy Crush Saga as well as a growing list of other Saga games.Kotick has agreed to pay $18 per share for King’s stock, which is 20% more than what they were trading at on the market. In total, Activision Blizzard is therefore paying $5.9 billion for the company, easily making this the biggest gaming acquisition in 2015 and probably for some time to come. That is, of course, if it is cleared by antitrust authorities with an expected completion in the spring next year.Kotick has commented that the King acquisition pushes the company’s active user base past 500 million every month and expands the device reach for any future games. 60% of King’s regular players are female, which also allows Activision Blizzard more scope for new mobile and Facebook titles in the future.When you look at the intellectual property and game releases the company now controls, it’s hard to argue with Kotick’s claim of largest entertainment company. Call of Duty, Destiny, Skylanders, World of Warcraft, StarCraft, Diablo, Hearthstone, Guitar Hero, and now the Saga games make for a very strong portfolio going forward. Even so, spending nearly $6 billion for what is effectively a match-3 games company looks very expensive whichever way you look at it.King has over 1,400 employees spread across 8 games studios located in Stockholm, Bucharest, Malmö, London, Barcelona, Berlin, Singapore, and Seattle as well as 5 offices in San Francisco, Malta, Seoul, Tokyo, and Shanghai. Although there’s no details from either company yet, some of those locations may now close down and jobs will be lost. Employees will likely have to wait until the acquisition is complete to find out if their positions are secure.last_img

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