? Acquisition
Ireland-based technical & creative gaming services provider Keywords Studios (LON: KWS) has acquired London-based creative gaming marketing agency Maverick Media Limited for purchase price of up to $4.76m
The total consideration includes
Upfront payment of $3.17m in cash and $0.4m in new shares
Post-completion conditional payment of $1.19m payable in mix of cash and shares
As reported by Proactive Investors, Maverick has annual revenue of $4.5m and adjusted EBITDA of $1.32m for the financial year ended May 31, 2020. Therefore, the valuation multiples are EV/Rev 1.2x, EV/EBITDA 3.6x
This is the second acquisition performed by Keywords Studios after $122m public offering in May 2020
? Previous Acquisitions
In June 2020, the company acquired UK-based provider of specialized game development services provider Coconut Lizards for $2.5m
In 2019, Keywords Studios made 9 acquisitions (Sunny Side Up, AppSecTest, GetSocial, Wizcorp, Descriptive Video Works, TV+SYNCHRON, Ichi, Syllabes, Kantan) for a total amount of $25.8m
? InvestGame Notes
Keywords Studios is an active buyer and still holds plenty of cash on its accounts. As reported by Group, it had net cash of €101m and €100m of undrawn committed revolving credit facility as of 30 June 2020
? Services
Maverick Media is a games creative agency, that helps gaming companies to position their products at the marking through the following services
leading of advertising campaigns
branding and development of advertising strategies
creation of promos and trailers
acquisition of celebrities and influencers
creation of live action animation
other services
Among the company’s clients are such games publishers and developers as: Bandai Namco, Ubisoft, Capcom, Microsoft, Activision Blizzard, EA, SEGA, Nintendo and others
SOURCES: KEYWORDS, PROACTIVEINVESTORS
