LOS ANGELES, July 27 (Xinhua) -- The Walt Disney Company announced on Tuesday it will acquire online social-network gaming company Playdom Inc.for up to 763.2 million U.S. dollars.
The California-based entertainment conglomerate will pay Playdom shareholders 563.2 million dollars in addition to a performance-linked earn-out of 200 million dollars, the company said.
Playdom has established itself as a pacesetter in the fast-growing business of online social gaming. Through well-know titles like Social City, Sorority Life, Market Street and Bola, Playdom engages an estimated 42 million active players each month.
"We see strong growth potential in bringing together Playdom's talented team and capabilities with our great creative properties, people and world-renowned brands like Disney, ABC, ESPN and Marvel," said Robert A. Iger, president and Chief Executive Officer of the Walt Disney Company.
By acquiring Playdom, Disney will strengthen its already-robust digital gaming portfolio, acquire a first-rate management team and provide consumers new ways to interact with the company on popular social networks like Facebook and MySpace.
"We are at the start of a once-in-a generation opportunity to transform the way people of all ages play games with their friends across devices, platforms and geographical boundaries," said Playdom CEO John Pleasants.
Playdom will remain headquartered in Mountain View, California. Pleasants will become an Executive Vice President of the Disney Interactive Media Group (DIMG) and General Manager of Playdom, reporting to DIMG President Steve Wadsworth.
The transaction is expected to close by the end of Disney's 2010 fiscal year, Disney said.