Video game publisher Take-Two Interactive Software agreed yesterday to buy US-based mobile gaming studio Playdots in a $192m deal that will allow internet group Tencent to exit.
The transaction will consist of $90m in cash and $102m in newly issued shares in Take-Two, and it is expected to close in the third quarter of 2020.
Founded in 2013, Playdots designs minimalist puzzle games for mobile devices. Its three games – Dots, Two Dots and Dots & Co – have been downloaded more than 100 million times altogether, and Two Dots has been an editor’s choice in both Google’s and Apple’s app stores.
Take-Two expects the acquisition to strengthen and diversify its casual mobile gaming portfolio. Playdots CEO Nir Efrat will continue to lead its activities, and the rest of its team will also join Take-Two upon completion of the merger.
Playdots’ sole funding round was a $10m series A in 2014 co-led by Tencent and Greycroft Partners that included Tuesday Capital (then known as CrunchFund), Slow Ventures and Northzone as well as an angel investment syndicate assembled through equity crowdfunding platform Alphaworks.
Michael Worosz, Take-Two’s head of strategy and independent publishing, said: “Our acquisition of Playdots will diversify and strengthen further Take-Two’s mobile game offerings, particularly within the casual, free-to-play segment.
“Two Dots continues to grow its audience and under the leadership of Nir, the addition of scavenger hunts, social leader boards and live-ops technology are enhancing the game and driving meaningful, long-term consumer engagement.”
Image courtesy of Playdots.
