- Today Zynga Inc. (Nasdaq: ZNGA) closed its $180 million deal of Istanbul-based mobile games developer Rollic
Today Zynga Inc. (Nasdaq: ZNGA) closed its $180 million deal of Istanbul-based mobile games developer Rollic. As part of the deal, Zynga acquired 80% of Rollic for a total purchase price, including working capital adjustments of approximately $180 million in cash. In the next three years, Zynga will acquire the remaining 20% in equal installments at valuations based on specific topline and profitability goals.
The acquisition of Rollic marks Zynga’s entrance into the fast-growing hyper-casual market and brings a highly talented team with a substantial network of external developers to Zynga. And Rollic also meaningfully increases Zynga’s audience while growing its advertising business.
Rollic will continue to be led by founder and CEO Burak Vardal and its current management team. And the company plans to maintain its headquarters in Istanbul, Turkey.
Launched in December 2018 by Burak Vardal, Deniz Basaran, and Mehmet Can Yavuz, Rollic is a hyper-casual publisher and game developer based in Istanbul, Turkey. And 8 of Rollic’s games have reached #1 or #2 top free downloaded games in the U.S. App Store, and their latest releases — Go Knots 3D and Tangle Master 3D — were the top two most downloaded games in the U.S. App Store in Q2 2020.
The close of this acquisition is effective as of October 1, 2020. And Zynga expects to update its full year 2020 guidance when reporting Q3 2020 financial results.
KEY QUOTES:
“We’re thrilled to welcome Rollic and its incredibly talented team, along with its extensive network of developers, to Zynga. Rollic brings Zynga into the world of hyper-casual, which is one of the most exciting and fastest growing mobile gaming categories. Rollic’s large and diversified audience base will also be valuable for Zynga as the mobile games and advertising landscape continues to grow.”
-Frank Gibeau, Chief Executive Officer of Zynga
“We are memorably excited to be joining Zynga, a perfect home for Rollic’s culture and core values. In this new chapter, Zynga and Rollic will bring together a massive production power filled with creativity, quality and extremely talented teams. We’re devoted to reflect the potential energy of this joining by creating the next generation of mobile gaming.”
— Burak Vardal, founder and Chief Executive Officer of Rollic
