SEGA Company, a subsidiary of SEGA Sammy Holdings, has announced plans to accumulate Finnish cellular video games firm Rovio Leisure for €706 million (roughly $773.8 million). The acquisition, anticipated to shut within the second quarter of fiscal yr 2024/3, is topic to critiques underneath relevant antitrust legal guidelines and different customary circumstances. This announcement is coming off of latest rumors of an acquisition that had been leaked final week.
The acquisition comes as SEGA positions the Client phase of its Leisure Contents Enterprise as a progress space underneath its Mid-Time period Plan (FY2022/3-FY2024/3). In step with its technique to take a position as much as ¥250 billion by FY2026/3, SEGA has been in search of funding alternatives within the Client space to strengthen its growth capabilities and create new ecosystems.
The worldwide gaming market is projected to succeed in $263.3 billion by 2026, with the cellular gaming market set to develop at a CAGR of 5.0%, representing 56% of the worldwide gaming market general. SEGA goals to additional strengthen its place on this quickly rising market by leveraging Rovio’s experience in live-operated cellular recreation growth and cellular recreation operation.
Rovio, finest recognized for the worldwide Offended Birds model, has seen its cellular video games downloaded over 5 billion occasions. SEGA plans to generate synergies between its current companies and Rovio’s strengths, together with international IPs, live-operated cellular recreation growth capabilities, and a powerful fanbase world wide.
SEGA has a historical past of buying growth studios to strengthen its international growth capabilities, together with UK-based The Inventive Meeting Ltd. in 2005 and Japan-based ATLUS. CO., LTD. (previously, Index Company) in 2013. The acquired studios have all tremendously expanded SEGA’s scale and launched many new titles globally.
Haruki Satomi, President and Group CEO, Consultant Director of SEGA SAMMY HOLDINGS, expressed his enthusiasm for the acquisition, stating that vital synergies can be created by combining the manufacturers, characters, fanbases, company cultures, and functionalities of each firms.
Alexandre Pelletier-Normand, CEO of Rovio, shared his pleasure for the long run, stating that combining the strengths of Rovio and SEGA presents an extremely thrilling future. The acquisition will see two globally acknowledged and iconic characters, Crimson and Sonic the Hedgehog, becoming a member of forces underneath two remarkably complementary firms with a worldwide attain that spans cellular, PC/console, and past.