Netflix announced today that it has entered into a combination agreement to acquire Next Games. Under the terms of the agreement, Netflix will commence a tender offer to acquire all of the issued and outstanding shares of the company.
Shareholders will receive €2.1 in cash per share of Next Games, for a total equity value of approximately €65 million. The Board of Directors of the game company has unanimously decided to recommend that the shareholders accept the tender offer.
“Next Games has a seasoned management team, strong track record with mobile games based on entertainment franchises, and solid operational capabilities,” said Michael Verdu, Vice President of Games, Netflix.
“We are excited for Next Games to join Netflix as a core studio in a strategic region and key talent market, expanding our internal game studio capabilities.”
Verdu added: “While we’re just getting started in games, I am confident that together with Next Games we will be able to build a portfolio of world class games that will delight our members around the world.”
Founded in 2013 and led by Teemu Huuhtanen, the company creates and operates engaging mobile games with global appeal and an authentic and social fan experience at its core.
The company’s strategy is to develop games based on popular entertainment IP, such as Stranger Things: Puzzle Tales, a story-driven puzzle role playing game (RPG) inspired by one of Netflix’s most watched series.
The company had approximately 120 employees at the end of 2021 and reported sales of approximately €27.2 million in 2020, with 95% of revenues generated from in-game purchases.
“We have had an unwavering focus to execute on our vision: to become the partner of choice for global entertainment businesses and craft authentic and long-lasting interactive entertainment based on the world’s most beloved franchises,” said Teemu Huuhtanen, Chief Executive Officer, Next Games.
“Joining forces with the world’s largest streaming service, Netflix, presents an opportunity for a logical and exciting continuation of our strategy to craft interactive experiences for the world to enjoy.
“Our close collaboration with Netflix on Stranger Things: Puzzle Tales has already proven that together we create a strong partnership. This is a unique opportunity to level-up the studio on all fronts and continue on our mission together.”
The company’s other games include The Walking Dead: Our World and The Walking Dead: No Man’s Land. You can learn more about at their official site.
At the site, the company says that “we take responsible gaming seriously and want to offer a source of entertainment that people can enjoy in a safe, secure and fair environment.
“Together with our licensing partners, we create compelling fans-first interactive experiences by combining the stories of well-known movies, TV series, books and comics with interesting game mechanics. At the core of development is our unwavering focus on fans.”