Stillfront Group Has Acquired Everguild Limited For Up To $14.2m

? Acquisition

• Stockholm-based mobile game developer and publisher Stillfront Group (OM:SF) has acquired 100% of the shares in Madrid-based cross-platform digital collectible card games (CCG) developer Everguild Limited, for up to $14.2m

• The purchase price consists of:

  • upfront consideration of approximately $1.4m on a cash and debt-free basis, including $0.7m payable in newly issued Stillfront shares, and the remaining amount is payable in cash

  • up to $12.8m of the earn-out, depending on Everguild’s annual EBIT for the financial years 2021-2024

• The acquisition allows Stillfront to expand into the fast-growing digital CCG (Collectible Card Games) genre, which entails increasing Stillfront’s audience and adding new titles to the portfolio

Note: multiplies are based on the company’s LTM financials as of August 31, 2020

? Financial Performance Of Everguild

• Everguild has a preliminary unaudited IFRS converted net revenue and adjusted EBIT for the period LTM 31 August 2020 of about  $1.5m and $0.27m, respectively

? Products

• Everguild is known for its two cross-platform games within the CCG genre — Drakenlords and The Horus Heresy: Legions

• According to AppMagic, the mobile version of the games have been downloaded more than 1 million times, with a peak of 53k downloads in October, 2018

• Most of the downloads come from Everguild’s second game, a card-battler based on the Warhammer 40.000 universe — The Horus Heresy: Legions

• In September 2020, the games were downloaded about 34k times

? Stillfront’s Latest Acquisitions

• In October 2020, Stillfront acquired Croatia-based mobile narrative & lifestyle games developer Nanobit for up to $148m on a cash and debt-free basis

• In April 2020, Stillfront acquired a US-based mobile games developer Candywriter, focusing on casual and mash-up (life simulation) games, for a total consideration of $195m

• In January 2020, Stillfront acquired mobile game publisher Storm8, focusing on match-3 games, for $400m

• In 2018-2019, Stillfront was also a very active acquirer. The company announced multiple M&As — KIXEYE, Playa Games, and Imperia Online

SOURCES: STILLFRONT