Feeds

Console gaming giant goes into handjobs

Electronic Arts buys Bejeweled maker PopCap

Build a business case: developing custom apps

Game giant Electronic Arts is spending over a billion dollars on phone and iPad gaming company PopCap – the maker of Bejeweled and Plants vs Zombies.

EA is handing over $650m in cash plus $100m in EA shares to some PopCap shareholders.

Additionally PopCap can earn another $550m if it hits sales targets for the next two years. EA is also promising $50m in shares to keep current staff employed at the firm.

The takeover should close in August 2011 as long as the usual conditions are met and regulators are happy. EA expects no impact on earnings per share for 2012 and a fillip of 10 cents per share in 2013.

PopCap specialises in what it calls "casual gaming" – the move away from complex, all-consuming console games to short-playing games played on a phone or other handheld device. Or as they put it: "Our games are sprinkled with a whirlwind of smile-inducing awesomeness and polished to a timeless sheen". The company was founded in 2000 and now employs 400 people, has created over 50 games, downloaded 1.5 billion times and claims one billion people have played at least one of their games. More than 65 per cent of its gamers are women.

EA and PopCap's press release is here.

EA also upgraded its guidance for the financial year 2012. It now expects revenues of between $3,800m and $4,025m giving earnings per share between 70 cents and 90 cents. ®

Build a business case: developing custom apps

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Nintend-OH NO! Sorry, Mario – your profits are in another castle
Red-hatted mascot, red-colored logo, red-stained finance books
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.