InnoGames, a Hamburg, Germany-based online games developer and publisher, received a growth investment from international digital entertainment group MTG (Modern Times Group MTG AB (publ.)).
MTG acquired a 35% stake in the company from Eight Roads Ventures and the founders. The transaction – which is subject to German and Austrian merger approvals – is based on an Enterprise Value of €260m for 100% of the company. MTG has an option to acquire a further 16% at the same valuation.
The investment will enable InnoGames to continue to develop several new mobile-only game titles which will be released in the next 12 months.
Founded in 2007, InnoGames is a large scale global online games developer and publisher operating a free-to-play model with revenues coming from in-game purchasing from 150 million registered users. Games include Elvenar, Tribal Wars I & II, Grepolis, The West and Forge of Empires.
The company, which runs four studios (three in Hamburg and one in Dusseldorf) and employs 400 people, has expected revenues of approximately €125m in 2016.
The current management team – led by Hendrik Klindworth, CEO – will continue to drive the development of the company moving forward.
For Stockholm, Sweden-based MTG, the investment creates a third digital entertainment vertical for MTGx alongside its esports (ESL and DreamHack) and MPN businesses (Zoomin.TV and Splay).
FinSMEs
15/10/2016