EA to acquire PopCap Games for $750 million
Image courtesy of Shacknews.
Electronic Arts announced an agreement today to acquire PopCap Games, creators of casual games such as Bejeweled, Plants vs. Zombies and Peggle.
According to an EA press release, the deal will cost EA $750 million consisting of $650 million in cash and $100 million in shares of common stock to “certain shareholders” of PopCap.
A few weeks ago, it was rumored that EA would acquire PopCap for $1 billion.
EA has been trying to expand their market from typical game systems such as the Xbox 360 system to the digital and casual market. Before this acquisition of PopCap, EA purchased PlayFish two years ago, a deal that lead to translating some of EA’s biggest franchises into Facebook games.
“EA and PopCap are a compelling combination,” said EA CEO John Riccitiello in a press release. “PopCap’s great studio talent and powerful IP add to EA’s momentum and accelerate our drive towards a $1 billion digital business. EA’s global studio and publishing network will help PopCap rapidly expand their business to more digital devices, more countries, and more channels.”
“We picked EA because they have recast their culture around making great digital games,” said David Roberts, CEO of PopCap. “By working with EA, we’ll scale our games and services to deliver more social, mobile, casual fun to an even bigger, global audience.”
The deal is expected to complete next month, subject to customary closing conditions and regulatory approvals.
