Modern Times Group has acquired India-based mobile studio PlaySimple in a deal worth well over $500 million.
The upfront consideration amounts to SEK 3.09 billion ($359.6 million), currently planned to be paid as 77% cash and 23% MTG class B shares.
However, with performance-based earnout payments of up to SEK 1.29 billion ($149.8 million), the acquisition becomes worth $509.4 million.
MTG says the deal will "significantly strengthen" its position in both the casual games space and with a female gaming audience, give it access to the growing word games genre, and allows it to tap into the talent pool in India.
PlaySimple is best known for word games such as Word Jam, Word Wars and Daily Themed Crossword. Its revenues grew 144% in 2020 to SEK 706 million ($83 million), with an adjusted EBITDA of SEK 154 million ($18 million).
It will release four new games later this year.
It also owns free-to-play strategy games developer InnoGames and web games portal Kongregate.
The group's gaming business generated revenues of SEK 4.42 billion ($514.5 million) in 2020 and has already made SEK 1.16 billion ($135 million) in Q1 2021.