888 Acquire Mytopia
15th June, 2010
Online gaming operator 888 Holdings has announced that they have acquired Mytopia from Real Dice Inc. This is the first entry into the social gaming area that the company has made and it seems that the acquisition of Mytopia will be a platform for future growth into the mobile and social gaming sectors.
This latest acquisition from 888 includes a development studio which specializes in both mobile and social gaming in addition to existing games such as Bingo Island 2, a Facebook app and a mobile friendly poker app.
This means that 888’s independent software division, Dragonfish, will be able to offer social and mobile applications as part of their gaming solutions.
888’s CEO Gigi Levy has reportedly said that the acquisition will further enhance 888’s offerings and shows the company’s ability to deliver games solutions across all platforms. 888 Holdings predict that mobile and social gaming will be at the centre of their future growth.
The cost of the deal was $12million in upfront cash plus an additional $6million earn out if pre negotiated milestones are met after the acquisition. The deal also asks for a further earn out up and above $18million based on 888;’s profits in 2011. That part of the deal could potential add a huge $48million to the acquisition price. This clearly shows 888s firm desire to enter the high growth niche of social and mobile gaming within the industry.
