EA acquires PopCap Games in a deal worth over $1 billionWritten by: / / No Comments
First revealed in a report towards the end of June, mega videogame publisher EA has completed an acquisition of casual game developer and publisher PopCap Games in a deal said to be worth over $1 billion.
By the end of August 2011, EA will pay PopCap shareholders a total of $750 million ($650 million in cash and $100 million made of EA common stock), while $550 million is also on the table depending on performance milestones that PopCap will need to achieve through the end of 2013.
This acquisition by EA is said to accelerate the publisher’s digital business plans and greatly improves its presence and position in the estimated $1 billion per annum markets of free-to-play, mobile, social, casual, browser and, importantly, Facebook, games, and builds on EA’s $400 million acquisition of casual and social game developer, Playfish, to help move towards leadership in this space.
PopCap CEO David Roberts commented on the deal:
“We picked EA because they have recast their culture around making great digital games. By working with EA, we’ll scale our games and services to deliver more social, mobile, casual fun to an even bigger, global audience.”
EA CEO John Riccitiello also offered his thoughts on the acquisition:
“EA and PopCap are a compelling combination. PopCap’s great studio talent and powerful IP add to EA’s momentum and accelerate our drive towards a $1 billion digital business. EA’s global studio and publishing network will help PopCap rapidly expand their business to more digital devices, more countries, and more channels.”
PopCap Games is most well known for hit casual games such as Bejeweled, Zuma, Peggle and Plants VS Zombies, and now employs roughly 475 people following its humble beginnings in 2000 in Seattle.
So: back to working for EA, Jeff Green.