Sega has recently offered €706 million ($776 million) to acquire the maker of the popular mobile game Angry Birds, Rovio Entertainment. This acquisition could potentially have a significant impact on the mobile gaming industry, and Sega’s motivation for the acquisition is worth exploring in detail.

Sega’s offer to acquire all Rovio outstanding shares and options at €9.25 per share and 1.48 euros per option represents a 19% premium to the pre-announcement closing price. This is a substantial investment on Sega’s part, but it also shows that they believe Rovio is a valuable asset in the mobile gaming industry. The acquisition would help Sega increase its market share and reinforce its brand power. Additionally, the acquisition of Rovio’s Angry Birds would boost Sega’s mobile game division.

The acquisition of Rovio would give Sega access to a wider audience, increasing their market share in the mobile gaming industry. With its brand power and reputation, Sega could potentially take Rovio’s Angry Birds franchise to new heights. This would put Sega in an even stronger position to compete with other major players in the mobile gaming industry.

Rovio Entertainment has an interesting history. They first gained prominence with the creation of the Angry Birds franchise, which quickly became a global phenomenon. Since then, they have developed other popular mobile games and expanded their reach beyond gaming with merchandise, animation, and theme parks.
Rovio’s profitability is also worth considering. In 2018, they reported a revenue of €281.2 million ($310 million) and an operating profit of €31.6 million ($35 million). With an established fan base and a track record of successful releases, Rovio has the potential for further growth.

While Sega’s offer to acquire Rovio is exciting, there may be some opposition from those who believe that Rovio should remain independent. There may also be concerns about how the acquisition will affect Rovio’s creative direction and the impact it will have on the mobile gaming industry as a whole.

Sega’s offer to acquire Rovio is a significant event in the mobile gaming industry. If the acquisition goes through, Sega will gain access to Rovio’s valuable assets and expand its market share. However, it remains to be seen how this acquisition will impact consumers and the mobile gaming industry as a whole. It is clear that Sega sees Rovio as a valuable asset, and we can expect to see more developments in the coming months.

By System