Game company Zynga buys rival Peak for $ 1.8 billion

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The online game provider Zynga (“Farmville”) wants to handle its largest takeover so far. The US company takes over the Turkish mobile game developer Peak for $ 1.8 billion. The companies announced a corresponding agreement yesterday in San Francisco, California.

Peak was founded in 2010 and is headquartered in Istanbul. The company, which has around 100 employees, has so far made a name for itself particularly with the mobile games “Toon Blast” and “Toy Blast”. The acquisition is expected to increase the number of Zyngas active users by around 60 percent in one fell swoop.

Breakthrough with “Farmville”

Zynga wants to pay half of the purchase price in cash and half in own shares. The acquisition is expected to close in the third quarter. The announcement of the deal was initially well received on the stock exchange: Zyngas shares temporarily rose by almost seven percent in US trading.

However, the acquisition is likely to be a financial effort. Zynga is not known for high profits and expects a net loss of $ 160 million in the second quarter. The company once came out big with the agricultural simulation “Farmville” on Facebook, but could not really build on this hit.

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