Sections

Tencent pays $126m for 15% of Glu Mobile

Company pays cash and card for Kardashians publisher

Tencent, the world's biggest games company by revenues, has expanded once more with the purchase of 21 million shares of Glu Mobile for $126 million, representing 14.6 per cent of the company. Tencent SVP Steven Ma will sit on Glu's board as part of the deal.

"Tencent was attracted to Glu due to its five-year growth track record, high-quality entrepreneurial management, and unique approach to methodically building a portfolio of success in the shooter, action-RPG, narrative-RPG, time-management, sports and racing genres," said Ma.

Glu's growth over the past year has been impressive, recording a record revenue of $248.1 million in 2014. A huge 31 per cent slice of those record sales came from, appropriately enough, millionaire simulator Kim Kardashian: Hollywood, with a further 21 per cent coming from Deer Hunter 2014. The mobile firm has also signed a five-year deal with US superstar Katy Perry and is planning a similar game to Hollywood, but based on the life of Brittney Spears.

The partnership represents a significant crossing of markets for both companies, as Glu's audience is predominantly western: 71 per cent of its revenues come from North America alone.

"It's a case of fewer, bigger better, and not a volumetric approach in either direction," said Glu's CEO Niccolo De Masi to investors, regarding territorial shift. "We do believe we can grow our China business considerably given how large that market is now."

More stories

Tencent provides clarification on new subsidiary's business operations

Despite online rumors Tencent says "All games under Tencent will remain under the control of their original teams…"

By Jeffrey Rousseau

Tencent cutting off Chinese gamers' access to foreign games

May 31 update to internet acceleration app will only support games operating in China

By James Batchelor

Latest comments (3)

James Berg Games User Researcher 7 years ago
Dan, that's a gloriously awful picture, hahah.

Amazes me when talking to devs here in NA that don't know who Tencent is.
0Sign inorRegisterto rate and reply
Gary LaRochelle Digital Artist / UI/UX Designer / Game Designer, Flea Ranch Games7 years ago
Always thought that Glu should do a crossover game called Deer Hunting with Kim Kardashian on Rodeo Drive.

Could be a big hit.
0Sign inorRegisterto rate and reply
Paul Jace Merchandiser 7 years ago
@James--That is most likely the least offensive picture of Mrs. Kardashian West he could find. I have no problem with her but most of her pictures usually aren't that....tame.
1Sign inorRegisterto rate and reply

Sign in to contribute

Need an account? Register now.