SEGA steps in to buy Rovio, the creators of Angry Birds

The Wall Street Journal broke the news that SEGA is close to an agreement to acquire Rovio, the studio behind Angry Birds. According to them, the Japanese company will pay close to $1 billion, or about 700 million euros.  Both Rovio and SEGA have officially confirmed the talks.

“Rovio and SEGA will provide additional information when appropriate. There is no certainty as to when or if the offer will be made, nor [are] the terms of any such potential offer known”. However, Rovio’s official website has just been updated with a terse note that the offer is already on the table.

“Sega Europe Limited announces a recommended cash offer to the shareholders and option holders of Rovio Entertainment Corporation.”

A 706 million euro offer

According to Business Wire, the offer is for 706 million euros and is expected to result in SEGA acquiring 100% of the capital. The transaction involves the payment of 9.25 euros per share and 1.48 euros for holders of subscription rights. Just this weekend, Rovio’s shares jumped by nearly 18% on Monday after the deal with Sega was agreed.

Haruki Satomi, President and CEO of Sega Sammy Holdings, emphasized that “significant synergies will be created in the future” between the two companies. He also stresses the potential of the mobile market: “Among the rapidly growing global gaming market, the mobile gaming market has especially high potential, and it has been SEGA’s long-term goal to accelerate its expansion in this field.”

Satomi is also excited about the deal, noting that Angry Birds is a brand loved by people around the world, “home to many skilled employees that support the company’s industry-leading mobile game development and operating capabilities.”

Source | Rovio, Business Wire, BBC