Game Show Network Games is currently in the process of acquiring game developer Bash Gaming for an undisclosed amount in mid-March. With a deal, which is reported to be estimated roughly around $160 million.
Game Show Network Games acquires such a large business such as Bash Gaming it will no doubt be advantageous. GSNG will currently no doubt love having Bash Gaming on board as they will have two of 2013’s top 10 overall grossing IPad apps. GSNG will now also have up to 10 million players on board as well as two extremely successful IPad games.
Details of Acquisition
As financial and legal details of this have been kept under wraps for the moment. The deal is reported to close in mid-March 2014; of course this is all subject to negotiations and final details being ironed out. The Executive Vice President of social gaming on GSNG, Jeff Karp, has stated that this acquisition will not only strengthen its games portfolio but also increase its marketing opportunities. The marketing opportunities consist of increasing both the Android and IOS reach for consumers.
An acquisition like this will allow Bash Gaming to expand its existing titles and have room to grow with GSNG. Providing more titles for customers, reaching new players and integrate better user engagement within the techniques they use already. As Bash Gaming already have a multi-player technology to create unique bingo experiences on games platform.
Jeff Karp also mentions how such a large scale acquisition will increase both company’s advertisements and interaction from their bingo base. Also that both companies coming together will create a Powerhouse in terms of using each businesses strength in reach and technology.
Lawsuit from GSN Games
GSNG have previously tried to acquire Bash Gaming in the past but GSNG later filed a lawsuit against Bash Gaming. As Bash Gaming had previously verbally agreed to a deal with GSNG, however they later backed out of this deal, angering GSNG. It later turned out that Bash Gaming had instead made a deal with a third party buyer. Which then forced GSNG’S hand, to pursue legal action against Bash Gaming.
The lawsuit that GSNG filed stated that they were seeking damages of at least $25,000 and the sale agreement terms and finally the amount matching the difference between their offer and the third parties. Bash Gaming CEO, Sumit Gupta later commented that the lawsuit had been dropped following the now successful acquisition.