The industry for casual mobile gaming has seen a substantial purchase by French firm Voodoo . Beach Bum is an Israeli gaming studio that specializes in card and tabletop games, and it is being acquired by the firm.
Given that Voodoo is giving both cash and shares, as well as certain retention bonuses, it is difficult to determine an exact sum for this transaction. A source claims that Voodoo may be paying a total of a few hundred million dollars. You may get an idea of the enormity of the deal from Beach Bum’s $70 million in revenue over the previous 12 months.
hyper-casual games games by Voodoo like Helix Jump, Crowd City, Hole.io, and Paper.io 2 are what the company is best known for. The business publishes and develops video games. In order to improve distribution, average income per user, and other factors, it collaborates with other game studios and has established a tech stack.
from Tencent and Goldman Sachs have raised money for the startup. More recently, Groupe Bruxelles Lambert made an investment in Voodoo worth 266 million ($309 million at the current exchange rate). The corporation is worth 1.7 billion, or around $2 billion.
After raising some additional funds, Voodoo wasted no time in seeking for acquisition targets for outside growth opportunities. 350 individuals are now employed by Voodoo. 150 workers from Beach Bum will transition to Voodoo.
With today’s acquisition, Voodoo is entering a new market and diversifying its hyper-casual gaming library by adding a few casual titles. Backgammon (Lord of the Board), Spades Royale, and Gin Rummy Stars are the three games currently available from Beach Bum in the App Store.
Additionally, the business concept is somewhat unique. In the past, Voodoo’s main method of game revenue was advertising. Instead, Beach Bum concentrates on in-app purchases. In this sense, the acquisition broadens the revenue sources for Voodoo.
There are now two more games in development for “Beach Bum.” Voodoo wants Beach Bum to serve as their gateway into in-app transactions. So, according to Gigi Levy-Weiss, I believe they will want Beach Bum to release as many games as they can.
A general partner at the venture capital firm NFX , Gigi Levy-Weiss co-founded Beach Bum in 2015. Although he now holds no operational positions at the gaming company, the chairman of the board is quite engaged.
The gaming market in Israel has expanded dramatically in recent years. It currently includes 400 various companies. There have been few sales, mostly to European and Asian customers. According to Avihai Michaeli, a senior investment banker headquartered in Tel Aviv, the Israeli gaming business Playtika went public on Nasdaq a few months ago for a valuation of $11 billion.