Electronic Arts said it would buy Glu Mobile in a $2.4 billion deal to boost its mobile platform with games like Design Home, Covet Fashion and MLB Tap Sports Baseball.
It is reported that JPMorgan was the advisor to EA in the transaction, while Goldman Sachs, Morgan Stanley and UBS Securities were advisors to Glu.
EA, best known for its esports franchises, hopes to expand its mobile gaming interface with this deal and attract more female gamers with its Glu-owned game portfolio, including Kim Kardashian: Hollywood.
EA continues its buying tour because it has a strong balance sheet and is looking to acquire big names in the gaming world, knowing that it acquired British Codemasters last December for $1.2 billion. Also earlier this month, EA raised its annual sales target to bet on strong sales of its popular sports games such as FIFA 21 and Madden NFL 21.
Games revenue around the world increased by 13.3% over the past year, achieving faster growth than computer games and console games such as Xbox and PlayStation, including Microsoft’s $7.5 billion acquisition of ZeniMax Media and the Swedish video game group Embracer of Gearbox and Easybrain.
It is worth noting that the value of video game sales in the United States reached $ 56.9 billion last year, achieving record numbers, due to the increasing demand for virtual entertainment after the cancellation of many major mass events to limit the spread of the new Corona virus.