On December 20, Zynga acquired an 80% stake in Small Giant Games, the creators popular game Empires and Puzzles, for $560 million. The deal will ultimately lead to a full acquisition for $700 million. Most importantly, it will add a popular gaming franchise to Zynga's portfolio of games, or games that can be downloaded for free, but include plenty of opportunities for microtransactions. In July, Small Giant Games touted 3 million monthly active users and 15 million downloads, all by a team that was once only 12 employees when they were developing the game back in 2016.
The deal, slated to close by Dec. 31, gives Zynga a major new title with strong international appeal. Empires & Puzzles has been downloaded more than 26 million times since its introduction 18 months ago and is the third-highest-grossing game in the Google Play store, according to data from App Annie. The game lets fans collect heroes and battle other players. It will instantly become one of Zynga’s largest revenue generators, along with Words With Friends, according to Chief Executive Officer Frank Gibeau.
“We’ve been impressed by the quality and momentum of Empires & Puzzles as we add another Forever Franchise into Zynga’s portfolio,” said Frank Gibeau, Zynga CEO. “Small Giant has created an innovative game that delivers a unique player experience that engages over the long term. We are excited that Small Giant is joining Zynga as they enhance our next phase of growth.”
Zynga is raising its fourth quarter 2018 guidance based on the strong performance of holiday bold beats across its live service portfolio – in particular, Words With Friends, Merge Dragons! and CSR2. In addition, Wonka’s World of Candy is off to a promising start since its launch in early November. As a reminder, this performance does not include any contributions from Small Giant as the transaction is expected to close effective as of January 1, 2019. Stay tuned to 5mmo.com and we will be the first one to inform you all the latest. Besides, our website also offer Cheap Zynga Chips for players.
