Sega, the renowned Japanese gaming company, has officially announced its acquisition of Rovio, the Finnish creator of Angry Birds, in a cash deal valued at €706 million ($775 million). Earlier this year, news surfaced that Playtika, an Israeli mobile gaming company, had bid for Rovio for €750 million ($810 million). Still, talks between the two companies collapsed without any disclosed reasons.
Rovio has confirmed that it has been in discussions with other potential buyers. Recent rumors suggest that Sega, known for creating Sonic the Hedgehog, was one of the interested parties.
Rovio has confirmed that the acquisition deal with Sega is now official. The expected timeline for the deal to close is in the second quarter of Rovio’s current fiscal year, which falls within the next few months, subject to standard conditions.
Sega’s offer to acquire Rovio comes at a significant premium, with a 63.1% increase from Rovio’s closing price on January 19, when acquisition reports first emerged, and a 19% premium from Rovio’s closing price on April 14.
In a statement, Haruki Satomi, the Group CEO of Sega Sammy, expressed Sega’s long-term goal of expanding its presence in the mobile gaming market, which holds immense potential within the rapidly growing global gaming industry. Satomi acknowledged the global popularity of Angry Birds and expressed confidence in the synergies that would be created through combining both companies’ brands, characters, fanbase, corporate culture, and functionality.
Rovio’s CEO, Alexandre Pelletier-Normand, highlighted the iconic status of Red from Angry Birds and Sonic the Hedgehog as characters created by two complementary companies with a worldwide reach spanning across mobile, PC/console, and beyond. Pelletier-Normand emphasized the significance of this acquisition in terms of the globally recognized characters and the mutually beneficial partnership between the two companies.