Mobile game dev offered over $12bn in historic acquisition proposal
Take-Two set to acquire Zynga for approximately $12.7 billion in the biggest game company buyout in history.
Take-Two Interactive, the owner of Rockstar Games and 2K, has entered into an agreement to acquire mobile game developer Zynga in what would be the highest-valued gaming company acquisition of all time, at over $12 billion.
The two American companies announced the deal in a recent press release, stating the acquisition would be done in a cash and stock transaction, with Zynga being valued at approximately $12.7 billion. This eclipses Microsoft’s deal with Bethesda Studios last year, which finalized at $7.5 billion. Take-Two and Zynga both expressed their excitement for the merger, and for the prospect of becoming one of the leading developers in the ever-growing mobile game market.
“We are thrilled to announce our transformative transaction with Zynga, which significantly diversifies our business and establishes our leadership position in mobile, the fastest growing segment of the interactive entertainment industry,” said Strauss Zelnick, chairman and CEO of Take-Two. “This strategic combination brings together our best-in-class console and PC franchises, with a market-leading, diversified mobile publishing platform that has a rich history of innovation and creativity.”
The merger would significantly bolster Take-Two’s position in the gaming industry, as the company already owns such behemoth franchises as Grand Theft Auto, Civilization, Red Dead Redemption, Borderlands, and NBA 2K. Now, with the addition of Zynga’s own extensive portfolio of successful mobile games – which includes the likes of Farmville, Zynga Poker, Words with Friends and Harry Potter: Puzzles and Spells – it could propel the two companies to dominate the mobile gaming market.