Sega nears deal to acquire Angry Birds maker Rovio for $1 billion,

[John Elden Ring]

Japan's Sega Sammy Holdings Inc (6460.T) is nearing a deal to acquire Rovio Entertainment (ROVIO.HE), the company behind the 'Angry Birds' mobile game, for about $1 billion, the Wall Street Journal reported on Friday.

Tokyo-based Sega could finalize the deal to complete the acquisition of Rovio by early next week, the report said citing people familiar with the matter.

Israeli peer Playtika (8II.F), had made a preliminary bid in January to buy Rovio for 683 million euros ($750.96 million), but the Angry Birds maker confirmed last month talks had ended.

Rovio and Sega did not immediately respond to Reuters' requests for comment.

Sega nears deal to acquire Angry Birds maker Rovio for $1 billion, Wall Street Journal reports

Japan's Sega Sammy Holdings Inc is nearing a deal to acquire Rovio Entertainment , the company behind the 'Angry Birds' mobile game, for about $1 billion, the Wall Street Journal reported on Friday.

www.reuters.com

 

[Gods&Monsters]

That's so random. What are they going to do with that?

 

[Zzero]

That's so random. What are they going to do with that?

Keep making Angry Birds. For what its worth I think its a bad buy, too, since Rovio has yet to produce another non-AB hit (or even, really, another successful non-AB game at all.) From a locational standpoint it sort of makes sense, I guess- most of Sega's non-Japanese assets are in Europe and targetted at PCs, which is closer to mobile than console is anyway.

 

[Cool hand luke]

Does Sega have any mobile assets? I read the article an hour back but promptly forgot if it was mentioned.

 

[Zzero]

Does Sega have any mobile assets? I read the article an hour back but promptly forgot if it was mentioned.

Yes, but they're small and don't have any flagship titles.

 

[anonpuffs]

I see sega hasn't stopped making bad decisions in 25+ years

 

[Nhomnhom]

Beats paying $12.7B for Zynga.

 

[Firefly]

Beats paying $11B for Zynga.

I still don't understand why take 2 is paying that much for Zynga

 

[Nhomnhom]

I still don't understand why take 2 is paying that much for Zynga

Turns out it was actually $12.7B apparently. Makes no sense to me how they are worth that when all they do is clone games.

 

[Yurinka]

Lol, I didn't see this coming. Rovio was huge years ago but not sure if they have been getting great results in recent years.

Edit: They are no longer a top dog as they were in mobile many years ago but for the scale of Sega it would be a great acquisition if price is reasonable, but I assume it can be something they can afford.

I still don't understand why take 2 is paying that much for Zynga

Because fhey make a lot of money. Look a this revenue and compare it with the one above:

 

[Old Gamer]

Rovio is a one-hit wonder, and said hit is well past its prime. Terrible buy for SEGA.

But then again, they do have a long history of bad decisions...

 

[KiryuRealty]

That’s a very SEGA move, buying out a company years after their biggest IP dropped off in popularity.

What a suicidally stupid company.

 

[Gods&Monsters]

Rovio is a one-hit wonder, and said hit is well past its prime. Terrible buy for SEGA.

But then again, they do have a long history of bad decisions...

That’s a very SEGA move, buying out a company years after their biggest IP dropped off in popularity.

What a suicidally stupid company.

But 2022 was a record year with 318 millions euros. Am I reading the chart wrong? It looks like they're making more revenue than ever since 2017?

 

[Yurinka]

But 2022 was a record year with 318 millions euros. Am I reading the chart wrong? It looks like they're making more revenue than ever since 2017?

Yes, they are profitabe, are in a growing revenue pattern and 2022 is their record year.

In addition to this they did open a new studio in Barcelona recently, maybe the European city with the biggest amount of mobile gaming hits and studios. So pretty likely their revenue will continue growing and probably will have more hits from there in the near future.

Maybe to pay a Billion for them is a bit too expensive, but seems a good acquisition.

 

[Zzero]

Lol, look at that Zynga net income chart, Take 2 better have a turn around plan.

 

[ManPhlaps]

Fattening themselves up for the MS acquisition.

 

[Johnic]

Fattening themselves up for the MS acquisition.

lol that's not how acquisitions work. You downsize, not up. Then again, Xbot troglodyte.

 

[BigMclargeHuge]

Fattening themselves up for the MS acquisition.

Keep dreaming.

 

[KiryuRealty]

But 2022 was a record year with 318 millions euros. Am I reading the chart wrong? It looks like they're making more revenue than ever since 2017?

And how much profit?

Revenue is essentially meaningless.

 

[ksdixon]

Everybody shut up.
Sonic Crackers lives, now with slingshot.
Rescue the angry birds from Robotnik's machines.
I'm so bored.