Electronic Arts is getting into the Kim Kardashian business. At least, that is the case if its deal to acquire mobile-gaming behemoth Glu Mobile goes through. EA announced its plans today to acquire Glu in a deal worth $2.4 billion. The companies expect the acquisition to close in second quarter of this year. This is EA’s second major acquisition in recent weeks following its move to bring publisher Codemasters under its umbrella.
Glu is known for the aforementioned Kim Kardashian Hollywood game as well as other mobile hits like Tap Sports Baseball, Dine Dash Adventures, and Disney Sorcerer’s Arena. As a mobile publisher, Glu specializes in bigger-budget mobile games often with full 3D visuals. But it also focuses on free-to-play games that run for years and generate revenue from microtransactions. That is the business model that EA has repeatedly told investors it wants to emphasize in the future.
“Our acquisition of Glu combines amazing teams and deeply-engaging products to create a mobile games leader with proven expertise across many fast-growing genres,” EA chief executive officer Andrew Wilson said in a statement. “Mobile continues to grow as the biggest gaming platform in the world, and with the addition of Glu’s games and talent, we’re doubling the size of our mobile business.”
For its part, Glu chief executive Nick Early is happy with this exit for shareholder.
“This transaction is the culmination of the tremendous work of the Glu team to deliver world-class interactive experiences for our players, while driving business momentum that has led to strong financial and operational results. It represents a terrific outcome for all of our stockholders and other key constituents,” said Earl. “As part of Electronic Arts, we will continue capitalizing on the opportunities ahead in the expanding mobile gaming industry.”
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