Geeya to Acquire Mobile Gaming Firm Tianxiang Hudong for RMB 2.2 bln
Geeya, 2/14/15
Chengdu-based broadcasting system management products provider Geeya Technology (300028.SZ) recently announced a plan to purchase a 100% equity interest in Chengdu-based mobile game developer and operator Tianxiang Hudong (Skymoons) for RMB 2.2 bln in cash and shares. Geeya will pay RMB 990 mln in cash and issue 87.94 mln shares at RMB 13.76 per share.
Geeya also plans to make a non-public share issue priced at RMB 12.74 per share to raise a further RMB 550 mln.
Tianxiang Hudong owns mobile titles such as Zombie War and Zhaoyun Zhanji. As of the end of 2014, the company had assets totaling RMB 206 mln and net assets of RMB 142 mln. Its revenue for the year was RMB 217 mln with net profit of RMB 129 mln. In 2013 it had revenue of RMB 16.59 mln and net profit of RMB 7.63 mln.
Geeya said that through this transaction it will be able to make use of Tianxiang Hudong's advantages in mobile game development and operation, which will fill Geeya's shortfalls in gaming content. Moreover, the company said it will help it expand from TV gaming into mobile gaming.
Editor's Note: For more information on this topic, please see "Mobile Game Developers Skymoons, Crimoon to Merge," MD 8/13/14 issue.
Keywords: television mobile gaming wireless 300028.SZ Geeya Skymoons M&A
Sending
