Streamplay Studio Limited (ASX:SP8) Acquires Noodlecake Studios
Acquisition Overview
Streamplay Studio Limited (ASX: SP8) has successfully completed the acquisition of Noodlecake Studios Inc., a notable North American indie gaming company. The acquisition, announced previously on 25 November 2024, is valued at C$8,198,385 (approximately A$9.1 million) and will take effect on 1 January 2025.
Financial Structure
The payment for the acquisition will be structured as follows: 60% upfront, amounting to approximately A$5.5 million, followed by two additional payments of around A$1.8 million due on the anniversaries of January 2026 and January 2027.
Leadership Transition
With the acquisition, Ryan Holowaty, previously the COO of Noodlecake, will step into the role of CEO for the newly acquired subsidiary. His extensive experience in the gaming industry positions him well to drive the strategic growth of Noodlecake under the Streamplay banner.
Operational Highlights
Noodlecake boasts a remarkable history with over 270 million downloads across 60+ games, generating more than A$42 million in revenue. The studio is known for its award-winning titles and plans to launch five new games in early 2025 on platforms including Xbox, Steam, and Nintendo Switch.
Strategic Synergies
The acquisition presents numerous synergies that will benefit both Streamplay and Noodlecake. Streamplay’s existing resources will support Noodlecake’s growth strategies while Noodlecake’s established market presence in North America will facilitate Streamplay’s expansion into new territories.
Executive Insights
Bert Mondello, Chairman of Streamplay Studio, expressed enthusiasm about the acquisition, stating, “We’re thrilled to officially welcome Noodlecake to the Streamplay family. This marks a significant step forward for our strategy as we enter 2025 with a strong lineup of releases and a shared vision for growth.”
Ryan Holowaty added, “Joining Streamplay is an incredible opportunity for Noodlecake to take the next step in our journey… this is a chance to build on everything we’ve accomplished so far.”
Motley Fool contributor Lianne Eastty has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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