Under the terms of the agreement, Ngmocoâs shareholders and employees will receive US$300 million in cash and securities and are entitled to additional consideration of up to $100 million, contingent upon the company meeting some undisclosed performance goals by the end of the 2011 calendar year.
âIn ngmoco and its team we see a lot of the same talent and dynamic traction that we have in the Japanese market, making the merger a perfect fit for us,â said Tomoko Namba, founder and CEO, DeNA. âThis acquisition cements DeNA's leadership position in the U.S. Weâre building the largest mobile social gaming platform in the world and populating it with incredible games and services.â
Based in San Francisco with studios in New York and Portland, Ngmoco was founded in 2008 by Electronic Arts executive Neil Young, along with Bob Stevenson, Alan Yu and Joe Keene. In total, it received funding in excess of 40 million from Kleiner Perkins Caufield & Byers, Norwest Venture Partners, and others — the former of which is responsible for $400 million iFund to support iPhone developer upstarts.
Renowned for its Rolando game series and Eliminate, ngmocoâs games are played more than 50 million minutes a day and have been downloaded more than 60 million times on Appleâs iOS devices, resulting in 20 top 10 applications. The companyâs Plus+ social network also has over 13.5 million registered users, with more than 50 million friend connections and has been installed more than 86 million times.
âWe are delighted to be joining forces with DeNA, a company that we have admired and aspired to,â said Young. âThe opportunity to be a part of creating the number one social mobile game platform company and to benefit from the unique learning and knowledge that DeNA possesses is an amazing way to accelerate our vision for gaming.â
Rolando for iPhone and iPod touch is amongst Ngmoco's most successful titles.
In September, Ngmoco announced its commitment to expand its offerings to Google's Android platform with games and services set to arrive in the fourth quarter. As a wholly owned subsidiary, ngmoco will be responsible for bringing DeNAâs âX-Device X-Borderâ strategy to Western markets by making DeNAâs Mobage a global service and platform for games.
Another key focus for the company is the creation of a unified open developer platform that combines ngmocoâs smartphone technology framework with DeNAâs pioneering Mobage Open SDK, allowing developers to target both iOS & Android devices with ease.
DeNA said a developer preview of the new global gaming platform will take place in December with further details to be announced in the near future.
For DeNA, Tuesday's acquisition marks its third in less than two months. The company purchased Mountain View, Calif.-based Gameview, a maker of free-play games, last month in addition to 20 percent share of Aurora Feint Inc., a Burlingame, California-based gaming network with over 29 million users.