Professional Documents
Culture Documents
INDUSTRY REPORT
Mobile Gaming
Overview
INSIDE THIS ISSUE
1. Overview
2. Mergers & Acquisitions
3. Private Financing
4. Valution Trends
5. Appendix
Global M&A Deals
Global Private Financing
Deals
Gaming is evolving from the traditional in-home console based platforms to digital
titles being played on mobile devices and connected consoles. Mobile gaming in
its various flavors is the fastest growth segment of digital gaming. Mobile has
changed quite dramatically from its beginnings on feature phones and game
optimized handheld devices such as the highly successful Nintendo DS and
PlayStation Portable. Handheld games initially were versions of popular console
games, adapted for mobile. Over time, as is the case with the Nintendo DS, games
have been designed more specifically for mobile consumers. A majority of mobile
games on smartphones today are casual, puzzle or other less complex genres that
can be played over many short gaming sessions.
Today mobile gaming is being driven by (i) emerging business models including
free-to-play (F2P) and advergaming; (ii) powerful technological advances in all
mobile devices enabling rich mid-core user experiences in addition to a wide array
of casual games; and (iii) the development of mobile platforms and App stores that
allow developers to sell directly to consumers and build communities. Cloud based
capabilities enabling the continuation of gameplay across platforms from consoles
to PC to mobile, etc. has also fostered growth in mobile gaming.
As mobile gaming revenue models have shifted from paid download to F2P with a
growing ad revenue stream, the influence of social/community dynamics has been
revolutionary to the sector. Social has not only made it easy to target and reach
large groups of users with similar demographics but has also led to rapid growth of
many titles and outstanding monetization. Community building and the inherent
virality of social has enabled publishers to achieve rapid customer acquisition or
downloads and, when combined with compelling monetization techniques, huge
aggregate revenue and impressive daily average revenue per user (DARPU) can
be generated.
The mobile gaming market is growing alongside the increasing penetration of
mobile devices. The proliferation of tablets with their robust technical capabilities
and attractive user interface has resulted in mobile becoming an attractive mid-core
gaming platform as well. Industry sources are reporting that tablets are enjoying
higher monetization rates than smaller smartphones across all revenue models
including paid downloads, in-game purchases and advertising. Additionally, tablets
are beginning to compete with consoles as an in-home gaming device with gamers
able to play on their platform of choice. Moreover, consumer spending on games in
the iOS App Store has overtaken the gaming optimized handheld channel. Google
Play revenue is also expected to soon exceed that from mobile handheld gaming
devices. The proliferation of mobile devices along with app stores providing
direct accessibility to end customers has brought in more developers and allowed
consumers to play free or low cost games in any location with ease.
Contact:
James Holzer
Partner
jholzer@redcapgroup.com
212.508.7103
Vikram Chandrasekaran
Vice President
vchandrasekaran@redcapgroup.com
Mobile, the fastest growing digital gaming segment, is projected to account for
34% of the global gaming market in 2017 compared to 20% in 2012, growing from
$12.3 billion to $29.6 billion or at a 19% CAGR, according to IDG. Major drivers of
this expansion are (i) the explosion of mobile devices in terms of number of units,
with their advanced technological capabilities and attractive user experience; (ii)
F2P revenue models that have enabled prolific monetization of gaming IP; and
(iii) a rapidly growing in-game advertising market including banner, interactive and
video ads as well as brand sponsorships (advergaming).
Global Gaming Market 2017
212.508.7106
Redwood Capital
885 Third Avenue, 25th Floor
New York, NY 10022
www.redcapgroup.com
Mobile
$29.6 B
34%
Mobile CAGR
19%
Source: IDG
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Page I 1
Mobile Gaming
Mergers & Acquisitions
M&A ACTIVITY 2010-2013
M&A deal activity in the mobile gaming sector has surged over the last three years with
the number of deals growing to 42 in 2012 from 35 in 2011 and 21 in 2010. There have
also been 13 transactions in the sector in 2013 as of May. The majority of growth in deal
activity was attributable to established companies seeking to diversify into the mobile
space, adopt the rising trend of the F2P business model and social games, and update
their technology to improve cross-platform and monetization capabilities. In 2012 and
2013, there were 24 mobile game developer, 13 mobile social game developer, 13 app
/ tech or platform technology and 5 monetization related transactions. Total disclosed
enterprise values reached $2.6 billion in 2012 with 19 transactions disclosed.
Deal Volume by Target Type 2012-2013
$2,000
30
$1,500
20
$1,000
Deal Volume
$2,500
App / Tech or
Platform
24%
Mobile
43%
10
$500
$0
Monetization
9%
50
$3,000
2010
2011
Enterprise Value
2012
Deal Volume
Social
24%
Source: Capital IQ
The rise of free- and low-cost games on mobile platforms has created a highly fragmented
and dynamic industry. A single successful title can catapult a developer into competition
with large gaming companies. In order to compete with these companies, larger
companies have been acquiring development studios specializing in the most popular
game genres. Recently, the transactions with the largest disclosed enterprise values have
involved social gaming companies, coinciding with the hype around social media (for
example, overvalued IPOs of Facebook and LinkedIn and the acquisition of Instagram by
Facebook for $1 billion). Gree, Inc. acquired Pokelabo, a developer of mobile social games
for $173.8 million in October 2012 and Funzio, a developer of social and mobile games
for $210 million / 3.5x revenue, in May 2012. Nexon acquired gloops, Inc., a mobile game
developer for $468 million / 1.5x revenue in October 2012. Zynga acquired OMGPOP, for
the revenue and user base of its social game Draw Something for $183 million / 2.0x
estimated run rate revenue.
Examples of large companies entering the mobile space acquiring development capabilities
in popular game genres through large, highly valued transactions include Electronic Arts
acquiring PopCap Games, a developer and publisher of casual and puzzle games, for $1.3
billion / 13.0x revenue in July 2011 and Walt Disney acquiring Playdom, a social game
developer, for $763 million / 15.3x revenue in July 2010.
Although there have been only two large disclosed enterprise value platform technology
transactions - Tencents acquisition of 48.6% of Epic Games for $330 million (total EV of
Epic Games is $682 million) in June 2012 and Grees acquisition of OpenFeint, a mobile
gaming platform and community, for $104 million and negligible revenues in April 2011
- there have been a relatively large number of deals in this sub-segment. Acquisitions of
payment and other monetization capabilities also accounted for a negligible amount of
the total reported transaction values in the sector.
Due to the highly fragmented market in mobile gaming, transaction valuation statistics
tended to fluctuate drastically based on the strategy and needs of the buyer and the size of
the target, both in number of valuable titles and revenue generation. Similarly, the targets
generally did not report financial statistics limiting the sample set to a small number of
transactions. In comparison to the previously mentioned transactions, Zattikka paid 39.6x
revenue for Expedite 5, a developer of online and mobile social network games.
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Page I 2
Mobile Gaming
Year
Deal Volume
Disclosed Deal
Volume
Total EV*
($m)
Average EV*
($m)
Median Deal
Value* ($m)
13
7.6
7.6
7.6
2012
42
19
2,565.3
135.0
16.5
2011
35
17
2,681.3
157.7
38.4
2010
21
11
1,437.6
130.7
33.6
M&A TRENDS
Gaming companies have been acquiring mobile game developers, specifically of social
games. 13 or 35.1% of the 37 mobile game developers that were acquired in 2012 and
2013 focused on social games. Targets are sought after for specific titles, which provide
the acquiring companies with revenues, user bases and expertise in specific genres and
platforms. Zynga acquired OMGPOP mainly for the game Draw Something.
Over the past few years, Asian companies have accounted for a large percentage of deal
volume and disclosed transaction value within the mobile gaming market. In 2012, Asian
companies accounted for $1.4 billion or 53.1% of the $2.6 billion in disclosed transaction
enterprise values and 9 or 21.4% of the 42 transactions versus $0.6 billion or 24.1% of the
$2.7 billion and 11 or 31.4% of the 35 in 2011. With the financial capability to acquire and
platforms with significant user bases to leverage, Asian companies are attempting to break
into US and European markets, acquire titles that enhance the appeal of their platforms
and increase revenues through their high margin mobile gaming business models which
they have mastered. Gree enjoys 40% EBITDA margins versus Zynga, a US based Facebook
game developer with a 15% EBITDA margin.
Deal EV by Geography 2012
Europe
1%
Europe
31%
North America
46%
Asia-Pac
21%
Asia-Pac
53%
North America
48%
Source: Capital IQ
Gree, a Japan based leading worldwide mobile social gaming network worldwide with a
reach of over 140 million users, $1.5 billion in revenue and a market cap of $2.3 billion, has
embodied this recent trend. In 2012, Gree made 3 mobile gaming acquisitions, App Ant
Studios, a mobile social game developer, Pokelabo, a developer of mobile social games
for $173.8 million and Funzio, a developer of social and mobile games for $210 million /
3.5x revenue. Gree also acquired OpenFeint, a mobile gaming platform and community,
for $104 million in 2011.
A more recent trend is for companies with offerings adjacent to mobile gaming to acquire
into the sector. Mobile gaming provides an avenue to leverage existing users to generate
additional revenue. Yahoo, an online and mobile technology company that provides
search, advertising, content and communication services, recently acquired PlayerScale,
a software infrastructure developer for cross-platform gaming and Loki Studios, a mobile
game developer. In February 2013, Gree and Yahoo Japan, one of Japans largest internet
portals, launched a joint venture to develop social games for smartphones. After acquiring
a stake in the company in 2011, Tencent formed a partnership with Kingsoft to operate
online games together. Netcracker Online Services (Knewcleus), an Indian education
management software solutions provider acquired X2PN E-Learning, a developer of social
games for Web and mobile devices to apply gaming concepts to education.
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Mobile Gaming
We expect robust M&A deal activity in mobile gaming to continue through 2013 and in
the coming years. As adoption and technological capabilities of mobile devices continue
to increase, along with the development of gaming platforms and accessibility of app
stores, the number of mobile gamers and the revenue opportunity for companies will
grow. Because the mobile gaming industry is still in an early growth stage and highly
fragmented, augmented by the ability of small developers to reach the entire mobile
gaming community through app stores and platforms, there will continue to be large
companies looking to add gaming franchises. Supercell, with only two titles, Clash of
Clans and Hay Day, has become larger in mobile than Electronic Arts in less than a year
and prior to that, Rovio created a monster franchise with Angry Birds. Big transactions
will likely be seen as titles that generate significant revenue are highly attractive. With
mobile gaming platforms still developing, there will be an opportunity to acquire app
development capabilities and platform technologies to enhance mobile offerings. Finally,
we believe robust deal activity will continue in the US with increasing volume in Asia
including developed markets that have significant mobile gaming activity as well as areas
where mobile penetration and gaming is still growing exponentially such as India, China
and Russia.
Region
2011
2012
Deal Volume
Disclosed EV ($m)
Deal Volume
Disclosed EV ($m)
Asia-Pac
11
647.4
1,362.1
North America
14
1,923.2
20
1,174.7
Europe
10
110.8
13
28.5
TOTAL
35
2,681.3
42
2,565.3
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Page I 4
Mobile Gaming
Private Financing
60
$400
50
40
$300
30
$200
20
$100
Deal Volume
10
$0
0
2010
2011
Total Capital Raised
2012
Deal Volume
Source: Capital IQ
# of Deals
% of Total
% of Total
14
9%
45.1
5%
4.5
2012
51
34%
386.1
41%
12.5
2011
53
35%
381.2
41%
10.3
2010
32
21%
125.8
13%
5.7
Total
150
100%
938.2
100%
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Page I 5
Mobile Gaming
Valuation Trends
STOCK PERFORMANCE
RELATIVE PERFORMANCE OF STOCK MARKET INDICES (%), 10/01/2009 - 05/31/2013
200
175
150
125
100
75
50
S&P500 Index
Source: Bloomberg
Analysis of public sector gaming companies cannot be focused on mobile gaming as there
is a lack of pureplay mobile gaming companies. A single public company in the sector
does not provide an accurate representation of the overall market conditions. Looking at
the market trends of our Custom Gaming Index* over the past three and a half year, as
a proxy for mobile gaming, it is evident that gaming stocks have been very volatile and
have comprehensively underperformed compared to the broader indices. Since the end
of 2011, even as the broad indices moved northwards due to easing concerns over the
European credit crisis, gaming stocks have seemingly decoupled from the broad indices
and broken away steeply in the opposite direction.
Further, it can be observed that over the period under analysis, gaming stocks have eroded
in value, whereas the market has notched up with gains of at least 50% (the Nasdaq
Composite Index has surged approx. 59% and the S&P500 Index is up about 54%). Despite
this clear underperformance, it should be noted that in 2011, gaming stocks staged a
smart recovery to be almost on level terms with the broad indices as two large players,
Electronic Arts and Gree, appreciated significantly by 26% and 177%, respectively.
However, since December 2011, mobile stocks have declined significantly, in part, to
the poor post-IPO performance of Zynga and Nexon and negative perception of gaming
companies that resulted. Zyngas value plummeted about 60% since its IPO, with a
debilitating loss of 37% on July 26, 2012 alone, following the announcement of weak
quarterly results. In addition to negative triggers from recent listings, between January
2012 and July 2012 (the trough phase of the Custom Gaming Index), Electronic Arts
caved 49% in value terms related to weaker-than-expected sales of Star Wars: The Old
Republic and the continued failure to meet business transformation initiatives timelines.
Shanda Games surrendered 15% of its value during the corresponding period due to weak
operating performance spanning several quarters, which culminated in the resignation of
its CEO, Qunzhao Tan, in August 2012.
Not all gaming companies are performing poorly. Firms that acquire and develop popular
titles, manage expenses and adapt to popular game types, have had decent results.
Activision Blizzard trades at 2013 P/E multiple of 17.3x, which is at 22% premium to the
sector average in the US-Europe region (14.2x), owing to its high margin (36% expected
in 2014 vs. 26% sector average) and good revenue growth (9% y/y in 2014 vs. 10% sector
average). On the other hand, Com2uS and GAMEVIL trade at 2013 P/E multiples of 20.6x
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Page I 6
Mobile Gaming
and 18.9x, respectively, which are at 71% and 57% premium, respectively, to the sector
average in the Asia-Pac region (12.0x). The reason for such big premiums is the high
revenue growth expectation of 28% y/y in 2014 for both vs. 12% y/y sector average; even
though their margins are much lower than the highest sector margin of 56%.
* The Custom Gaming Index is a market-capitalization weighted index created by us to
chart the performance of prominent publicly listed global mobile gaming companies. The
constituents of the Custom Mobile Gaming Index and their weightings are as follows:
Electronic Arts (28.7%), Shanda Games (15.5%), Gree (11.5%), Perfect World (11.0%),
Changyou (8.1%), Giant Interactive (7.2%), DeNA (6.6%), Take-two Interactive (4.2%),
NeoWiz Games (3.7%), GameLoft (1.9%), GungHo Online (1.4%) and Glu Mobile (0.2%).
Note that we have not included Zynga and Nexon in the index due to their limited trading
history, given that both the IPOs were listed in December 2011. We have assumed no
rebalancing of the index during the period under analysis.
Multiples Snapshot
Company Name
Price Mkt.Cap
EV
EV/Revenue
EV/EBITDA
($m)
($m)
2012
2013E
2012
P/E
2013E
2012
LT EPS
2013E Growth
Asia-Pac
Gree, Inc.
9.78
2,284
2,135
1.1x
1.4x
2.4x
4.1x
4.5x
8.3x
DeNA Co
20.51
2,752
2,118
1.0x
1.0x
2.2x
2.6x
5.4x
6.5x
8.2%
12871.29
14,824
14,629
49.0x
8.0x
113.1x
22.6x
156.2x
24.9x
35.8%
20.0%
GungHo Online
-8.6%
Capcom Co
15.95
918
777
0.6x
0.8x
3.6x
5.0x
7.8x
14.4x
Changyou.com
30.75
1,630
1,511
2.4x
2.0x
3.8x
3.6x
5.8x
5.4x
9.8%
Perfect World Co
15.43
748
497
1.2x
1.1x
4.1x
5.1x
8.6x
9.0x
14.9%
12.3%
NetEase, Inc
63.93
8,301
5,828
4.4x
3.7x
9.3x
7.5x
14.2x
11.9x
Nexon Co
10.20
4,455
3,893
3.1x
2.7x
5.5x
5.6x
15.2x
12.1x
0.0%
NEOWIZ Games
15.82
347
356
0.6x
0.7x
2.7x
3.1x
49.2x
6.2x
29.0%
Com2uS Corp
41.28
400
368
5.1x
3.7x
21.3x
14.8x
20.8x
18.0x
39.1%
138.78
2,759
2,255
3.2x
3.2x
12.7x
9.8x
18.8x
17.5x
28.7%
4.12
1,110
868
1.3x
1.2x
3.3x
3.9x
6.2x
6.0x
8.0%
106.96
594
545
8.2x
5.9x
22.6x
17.0x
28.2x
22.2x
34.9%
Average
6.2x
2.7x
15.9x
8.0x
26.2x
12.5x
17.9%
Median
2.4x
2.0x
4.1x
5.1x
14.2x
11.9x
14.93%
NCsoft Corp
Shanda Games
GAMEVIL Inc
US & Europe
Electronic Arts
22.99
6,958
5,837
1.5x
1.4x
14.4x
6.9x
39.8x
14.3x
15.2%
Activision Blizzard
14.43
16,126
11,508
2.4x
2.7x
7.3x
8.2x
14.0x
16.9x
10.5%
Take-Two Interactive
16.64
1,529
1,461
1.4x
n.a
n.a
n.a
n.a
n.a
10.9%
Zynga
3.40
2,699
1,531
1.2x
1.6x
26.8x
21.3x
n.a
n.a
15.7%
Giant Interactive
8.46
2,025
1,556
4.6x
3.9x
7.0x
6.1x
12.7x
8.9x
12.8%
GameLoft
7.17
570
498
1.8x
1.6x
11.6x
9.4x
46.6x
19.3x
55.0%
2.71
186
164
1.9x
1.9x
n.a
n.a
n.a
n.a
0.0%
Average
2.1x
2.2x
13.5x
10.4x
28.3x
14.9x
17.2%
Median
1.8x
1.8x
11.6x
8.2x
26.9x
15.6x
12.8%
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Page I 7
Mobile Gaming
Appendix: Transaction List
Global M&A Deals - Mobile Gaming (2010-2013)
Revenue EBITDA
[LTM]
[LTM]
($m)
($m)
EV /
Rev.
EV /
Major Business Focus [Target/Issuer]
EBITDA
Target/Issuer
5/28/2013
Social
5/23/2013
Platform
PlayerScale, Inc.
Yahoo! Inc.
5/10/2013
Mobile
Yahoo! Inc.
5/10/2013
Mobile
Butterfly Corporation
4/29/2013
App / Tech
Tricycle, Inc.
4/16/2013
Social
4/8/2013
Mobile
4/2/2013
Mobile
7.6
3/11/2013
Mobile
2/27/2013
App / Tech
2/25/2013
Mobile
Robotoki Inc.
2/3/2013
App / Tech
1/15/2013
Social
Kabam, Inc.
Storycode, Inc.
TigerLogic Corporation
7.7
12/27/2012 Monetization
2.0
12/14/2012 Mobile
Valve Corporation
12/10/2012 Mobile
Studio Ex
12/4/2012
Mobile
Buyers/Investors
EV
($m)
TapMe, Inc.
MediaMath Inc.
11/23/2012 Social
11/1/2012 Mobile
Drimmi LLC
Digital Goldfish Limited
Webgames
Kaiparasoft Ltd
10/24/2012 Social
Pokelabo, Inc.
173.8
10/9/2012
Mobile
Fudeco Oy
Arcusys Oy
10/2/2012
App / Tech
Viewdle, Inc.
45.0
10/1/2012
Mobile
gloops, Inc.
467.6
304.3
1.5x
9/25/2012
Monetization
4.1
9/17/2012
App / Tech
9/17/2012
Social
8/16/2012
Monetization
8/15/2012
8/2/2012
7/19/2012
6/21/2012
Mobile
Social
Platform
Social
NaturalMotion Ltd.
Saban Brands LLC
Probability Plc (AIM:PBTY)
Roadhouse Interactive Ltd.
4.8
-
6/19/2012
Platform
681.8
6/15/2012
App / Tech
6/8/2012
Mobile
6/8/2012
App / Tech
NINJ GmbH
6/4/2012
Mobile
5/21/2012
Mobile
5/15/2012
5/14/2012
App / Tech
Social
5/10/2012
Monetization
GameBux
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Oomba, LLC
24.3
685.0
79.7
8.6x
3.0
Page I 8
Mobile Gaming
Revenue EBITDA
[LTM]
[LTM]
($m)
($m)
Target/Issuer
Buyers/Investors
EV
($m)
EV /
Rev.
EV /
Major Business Focus [Target/Issuer]
EBITDA
5/7/2012
Mobile
Penultimate Inc.
Evernote Corporation
5/1/2012
Social
Funzio, Inc.
210.0
60.0
3.5x
13.1
2.1
6.2x
4/23/2012
Mobile
4/20/2012
Social
Expedite 5, Inc.
2.7
0.1
39.6x
4/11/2012
Mobile
13.0
3/31/2012
Mobile
18.0
60.0
0.3x
3/21/2012
Social
OMGPOP, Inc.
182.8
91.4
2.0x
2/22/2012
Monetization
BringIt, Inc.
International Game
Technology (NYSE:IGT)
10.1
2/17/2012
App / Tech
Mutado s.r.l.
2/15/2012
Mobile
Kongzhong Corp.
(NasdaqGS:KONG)
16.5
2/3/2012
Social
Doppelgames Inc.
1/18/2012
Mobile
1/14/2012
Mobile
1/11/2012
Mobile
12/9/2011
Mobile
12/5/2011
Mobile
Handmade Mobile
Entertainment Limited
6waves Lolapps Inc.
Zynga, Inc.
Supermono Studios
SpinVector s.r.l
38.4
18.4
11/11/2011 Monetization
ReachFurther Communications
Limited
1.4
Qbrick AB
TDF S.A.S
9.1
10/24/2011 Platform
Appcelerator, Inc.
6.3
66.3
3.0
0.1x
2.1x
10/6/2011
Mobile
9/15/2011
Monetization
28.3
56.6
0.5x
8/30/2011
Monetization
8/19/2011
App / Tech
Novamira Corp.
10.0
8/15/2011
Social
8/11/2011
Mobile
Surna Inc.
8/11/2011
Mobile
8/2/2011
Mobile
8/2/2011
Mobile
Griptonite Inc.
7/27/2011
Mobile
NCsoft Corporation
(KOSE:A036570)
7/20/2011
Social
7/12/2011
Social
7/6/2011
Mobile
6/7/2011
Platform
Scoreloop AG
5/13/2011
Monetization
5/12/2011
Monetization
Selatra Limited
24 Mobile Advertising
Solutions AB
5/10/2011
App / Tech
Liveware Inc.
5/3/2011
Mobile
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21.9
57.8
21.3
2.7x
100.0
28.9
4.6
3.7x
19.6x
1,301.2
100.1
13.0x
536.8
150.6
52.0
3.6x
10.3x
71.0
9.6
10.3
1.0x
7.2
9.0
0.8x
Page I 9
Mobile Gaming
EV
($m)
Revenue EBITDA
[LTM]
[LTM]
($m)
($m)
EV /
Rev.
EV /
Major Business Focus [Target/Issuer]
EBITDA
Target/Issuer
Buyers/Investors
5/1/2011
Platform
EveryMatrix Ltd
4/29/2011
Social
ZipZapPlay, Inc.
4/21/2011
Platform
OpenFeint Inc.
104.0
0.3
368.1x
4/18/2011
Social
MindJolt, Inc.
3/18/2011
Social
2/14/2011
Platform
2/8/2011
Platform
0.5
2/8/2011
Mobile
24 Mobile Advertising
Solutions AB
2/2/2011
Social
328.6
28.6
11.5x
1/20/2011
Mobile
Konami Corp.
58.3
194.3
9.7
0.3x
6.0x
1.8
33.6
Zynga, Inc.
53.2
1.0
400.0
30.1
13.3x
19.3
12/21/2010 Mobile
12/7/2010
Platform
12/2/2010
Mobile
11/24/2010 Mobile
10/20/2010 Social
Chillingo Ltd.
10/12/2010 Mobile
ngmoco, LLC
10/11/2010 Platform
10/1/2010
Social
9/13/2010
Social
8/26/2010
Monetization
ExtendMedia Corporation
7/27/2010
Social
Playdom, Inc.
7/12/2010
Mobile
dtp entertainment AG
7/1/2010
App / Tech
Tapulous Inc.
6/22/2010
Mobile
4/27/2010
Platform
Airmotion GmbH
3/23/2010
App / Tech
Sennari, Inc.
3/3/2010
2/23/2010
Social
App / Tech
2/3/2010
3.0
763.2
49.9
15.3x
42.0
12.0
3.5x
99.0
38.5
12.8
2.6x
7.8x
MindJolt, Inc.
Handango, Inc.
Austin Ventures
Appia, Inc.
Mobile
CJ Internet Corp.
11.5
2/3/2010
Mobile
13.0
1/19/2010
App / Tech
Apperian, Inc.
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Page I 10
Mobile Gaming
Global Private Financing Deals - Mobile Gaming (2010-2013)
Amount
($m)
Round of
Financing
Kamicat GmbH
Swoopt Fantasy Sports
Greengar Studios LLC
0.2
0.1
4/12/2013
PlayFirst, Inc.
2.0
4/9/2013
Peak Games
4/3/2013
Brainbow Limited
1.0
Seed
3/25/2013
265.6
3/19/2013
2.8
Seed
3/13/2013
Arkadium, Inc.
5.0
2/8/2013
1.4
Seed
2/5/2013
25.0
IMI.VC
1/29/2013
1/29/2013
0.5
1/8/2013
BrightContext Corporation
Militello Capital
1/7/2013
7.1
12/31/2012
12/31/2012
10.0
2
-
12/11/2012
Kabam, Inc.
12/4/2012
6.0
11/15/2012
0.6
Seed
11/13/2012
2.0
11/13/2012
8.0
11/13/2012
2.5
10/22/2012
10/4/2012
9/4/2012
Adictiz SAS
SOFTGAMES - Mobile Entertainment
Services GmbH
Groupe Interaction Sarl
JumpStart, Inc.
Playspace S.L.
0.8
1.9
1
-
8/16/2012
www.Games.de GmbH
iVentureCapital GmbH
7/16/2012
18.2
7/10/2012
1.1
Seed
7/10/2012
7/9/2012
Betable Limited
7/6/2012
6/21/2012
NaturalMotion Ltd.
11.0
Benchmark Capital
6/5/2012
BeiZ Oy
1.0
5/23/2012
1.0
5/11/2012
9.0
5/8/2012
session M, Inc.
20.0
4/26/2012
4/23/2012
4/19/2012
Saborstudio
Link Tomorrow Co.Ltd
D.CN
1.8
20.0
Seed
-
4/18/2012
Mo'Minis, Ltd.
4.5
4/11/2012
4/9/2012
4/2/2012
4/1/2012
Mugeda Inc.
Wizcorp Inc.
Dragonplay
Jungle Apps
14.0
1.0
Seed
Seed
3/31/2012
20.0
3/31/2012
3/30/2012
60.8
Ann. Date
Target/Issuer
5/6/2013
4/19/2013
4/15/2013
10/23/2012
www.redcapgroup.com
Buyers/Investors
iVentureCapital GmbH
Tandem Entrepreneurs Management Services, LLC.
500 Startups
Mayfield Fund; Rustic Canyon Partners; Trinity
Ventures; DCM
Earlybird Venture Capital GmbH & Co. KG;
Hummingbird Ventures; Endeavor Global, Inc.,
Investment Arm; Endeavor Catalyst
DN Capital Limited; Jaina Capital; London Venture
Partners LLP; Initial Capital; Lifeline Ventures, LLC;
Initial Capital
Page I 11
Mobile Gaming
Ann. Date
3/29/2012
Target/Issuer
Amount
($m)
Round of
Financing
Buyers/Investors
Famigo, Inc.
1.0
Seed
3/21/2012
3/5/2012
5.0
-
3/2/2012
TapMe, Inc.
3.2
3/1/2012
PlayPhone, Inc.
67.3
Menlo Ventures
2/25/2012
0.2
2/22/2012
moyasoft Corp.
Seed
1.2
Seed
3/21/2012
2/15/2012
2/9/2012
1/31/2012
1/23/2012
Pixowl Inc.
2/15/2012
Menlo Ventures
1/23/2012
Joyent, Inc.
85.0
1/20/2012
Addmired, Inc.
8.0
1/17/2012
1/16/2012
GetBonkers, Inc.
Mobicle Co., Ltd.
0.1
-
Seed
-
12/31/2011
Seed
12/31/2011
Amplify.LA
GREE Ventures, Inc.
Norwest Venture Partners; SoftTech VC; Google
Ventures; 500 Startups
CAT Seed A/S
12/31/2011
PlayerDuel, Inc.
Rainmaking ApS
12/31/2011
12/30/2011
Idreamsky
Ascend Acquisition Corp. (OTCBB:ASCQ)
Beijing Leiyoo Information Technology
Co., Ltd.
2.0
1
-
2.7
0.2
Seed
2.0
12/20/2011
12/16/2011
IguanaBee Inc.
12/6/2011
11/30/2011
SpinVector s.r.l
Woodla
InGameAd Interactive Technology
Limited
11/14/2011
11/2/2011
10/27/2011
GAEMS Inc.
10/14/2011
Pokelabo, Inc.
10/11/2011
Appyzoo Inc.
0.3
Seed
9/29/2011
0.3
9/27/2011
0.4
9/27/2011
Peak Games
11.5
9/15/2011
5.0
9/15/2011
Maysalward
TIMAR Ventures
9/14/2011
8.5
9/8/2011
1.4
Seed
9/8/2011
Gorb
8/29/2011
8/27/2011
0.1
14.0
8/24/2011
14.0
8/12/2011
3.6
8/4/2011
Spaceport.io Inc.
1.0
8/4/2011
35.0
8/3/2011
7/31/2011
7/31/2011
1.5
10.0
0.1
Seed
1
-
6/30/2011
TicTacTi LTD
0.5
6/30/2011
Peak Games
4.9
5/31/2011
5/26/2011
Pixonic LLC
Kabam, Inc.
5.0
116.4
2
4
5/25/2011
Peak Games
16.5
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Page I 12
Mobile Gaming
Ann. Date
Target/Issuer
Amount
($m)
Round of
Financing
Buyers/Investors
RBC Venture Partners; Relay Ventures; NFQ
Ventures
IDG Ventures; IDG Capital Partners
Summit Partners; TA Associates, Inc. (nka:TA
Associates Management, L.P.)
SoftBank Capital; Outpoint Capital Management;
FLOODGATE; Baseline Ventures
5/19/2011
2.0
Seed
4/29/2011
Funzio, Inc.
20.1
4/26/2011
Bigpoint GmbH
4/20/2011
4/11/2011
3/21/2011
3/10/2011
Z2Live, Inc.
NoiseToys, Inc.
2.5
1.2
2
Seed
3/10/2011
Rovio Entertainment Oy
42.0
2/28/2011
Seed
2/24/2011
2.0
Hillair Capital
2/24/2011
1.3
2/23/2011
2.6
2/8/2011
2/1/2011
1/31/2011
TinyCo, Inc.
Doppelgames Inc.
Ji Ke
18.1
0.1
1
Seed
-
Promotora
Index Ventures; Lifeline Ventures Oy; London
Venture Partners LLP; Initial Capital
Andreessen Horowitz
XG Ventures; TomorrowVentures, LLC
QUALCOMM Incorporated (NasdaqGS:QCOM)
1/20/2011
Kabam, Inc.
30.0
1/7/2011
12/31/2010
Peak Games
Grey Area Ltd.
2.5
-
Seed
Seed
12/31/2010
PlaySpan, Inc.
12/31/2010
0.1
12/30/2010
TapMe, Inc.
1.5
12/16/2010
12/15/2010
5.0
Innovation Works
Hyde Park Angels; Rockfish Brand Ventures; I2A
Fund
KfW Mittelstandsbank, Investment Arm; Xange
Private Equity, S.A.; Bertelsmann Digital Media
Sequoia Capital
11/22/2010
Mo'Minis, Ltd.
4.5
11/3/2010
BringIt, Inc.
1.5
11/2/2010
0.3
10/21/2010
10/5/2010
Viewdle, Inc.
10.0
9/29/2010
PlayFirst, Inc.
5.2
9/16/2010
Seed
9/1/2010
8/26/2010
Pokelabo, Inc.
Green Mobile Corporation
12.0
-
8/20/2010
Kabam, Inc.
Intel Capital
8/19/2010
PlaySpan, Inc.
18.0
8/11/2010
ngmoco, LLC
Google Ventures
8/3/2010
8.0
12.0
1.0
3.0
5.5
1
1
-
Meltwater Foundation
7/31/2010
7/22/2010
7/21/2010
7/8/2010
OpenFeint Inc.
8.0
6/30/2010
6/23/2010
6/18/2010
3.0
3.0
2.0
5/14/2010
Booyah, Inc.
20.0
5/12/2010
4/6/2010
0.2
2.0
3/31/2010
OpenFeint Inc.
1/25/2010
Drimmi LLC
7/31/2010
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Page I 13
Mobile Gaming
Los Angeles
Baltimore
Geneva
Tel: +33 1 58 18 39 00
Fax: +33 1 53 43 09 76
www.redcapgroup.com
For Information:
James Holzer
Vikram Chandrasekaran
jholzer@redcapgroup.com
vchandrasekaran@redcapgroup.com
212.508.7103
212.508.7106
Copyright 2013 Redwood Capital Group LLC. This report is published solely for informational
purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy
any security. The information herein is based on sources we believe to be reliable but is
not guaranteed by us and we assume no liability for its use. Any opinions expressed herein
are statements of our judgment on this date and are subject to change without notice.
www.redcapgroup.com
Page I 14