Avista
Video Game Briefing Partners
Highlights:
• Market Cap for all public companies in global game sector is $105.1 billion
• Over $49m of M&A deals in global sector (Last 30 days)
• Over $34m raised in global sector (Last 30 days)
• The Game Outsourcing Index is the best performing game sector index at +78.5% (LTM)
• The Asia Game Index is the best performing regional game index at -27.4% (LTM)
• Online Game/ Virtual World Universe has 210+ companies generating $10.1 billion in annual revenue plus we are tracking 75 additional new companies
Recent M&A Deals
Total
Transaction Implied Implied Implied Implied
Value Enterprise Enterprise Enterprise Enterprise
Date Target/Issuer ($mm) Buyers/Investors Value ($mm) Value/Revenues Value/EBITDA Value/EBIT
PC, Console Games
07/10/2009 Midway Games (most assets) 49.0 Warner Bros 49.0 - - -
Online Games
07/28/2009 N-Cash - Live Gamer - - - -
07/27/2009 Xuelang Software (51%) - Giant Interactive - - - -
07/21/2009 Advergame.com - Arkadium - - - -
07/09/2009 Kingsoft (7.81%) - Unknown - - - -
Recent Fundraising Deals
Total
Transaction
Date Target/Issuer Transaction Type Value ($mm) Investors
Online Games
07/22/2009 OPEN Sports Network Private Placement 4.0 Fox Sports & others
07/14/2009 OutSpark, Inc. Private Placement 8.3 Syncom Venture Partners, SBI Investment Co., Ltd. and Mille Plateaux.
07/13/2009 Jango Game Private Placement 0.3 -
07/08/2009 trade-a-game GmbH Private Placement 2.2 DuMont Venture, Madsack MediaLab, KfW Mittelstandsbank & Klaus Wecken
07/07/2009 Metaversum GmbH Private Placement 6.3 BC Brandenburg Capital, Balderton Capital and Grazia Equity GmbH
Mobile Games
07/30/2009 Cellufun Private Placement 1.0 Longworth Venture Partners
07/07/2009 Artificial Life, Inc. (OTCBB:ALIF) Private Placement 2.0 -
Game Technology
07/27/2009 Mixamo Private Placement 4.0 Keynote Ventures and Granite Ventures
07/02/2009 Artificial Technology Private Placement - Falk Strascheg Holding and Clusterfonds Innovation
Video Game Events to be attended by Avista Partners for balance of 2009:
Gamescom in Cologne, Germany on 19-23 August - http://www.gamescom-cologne.com/
Plus we will be hosting our annual Interactive Entertainment Summit in London in late 2009 which is by invitation only. See details of the event in 2008 at: http://www.avistapartners.com/news-events.html
July 2009 Source: Capital IQ, Company Filings, Brokers & Press 1
Avista
Video Game Briefing Partners
Game Index Performance by sub-sector (LTM)
The Game Outsourcing Index is the best performing game sector index at +78.5%
190
170
150
130
110
90
70
50
30
Aug/08 Sep/08 Oct/08 Nov/08 Dec/08 Jan/09 Feb/09 Mar/09 Apr/09 May/09 Jun/09 Jul/09
S&P 500 Index Game Distributor/ Accessory Index
Game Retailer Index Mobile Game Index
Game Outsourcing Index PC/ Console Game Index
Online Game Index
Note: the companies making up each index are those listed in the corresponding comps in the following pages. The indexes are based on a weighted market cap and are rebased to 100 at the start.
July 2009 Source: Capital IQ, Company Filings, Brokers & Press 2
Avista
Video Game Briefing Partners
Game Index Performance by region (LTM)
The Asia Game Index is the best performing regional game index at -27.4%
110
100
90
80
70
60
50
40
30
Aug/08 Sep/08 Oct/08 Nov/08 Dec/08 Jan/09 Feb/09 Mar/09 Apr/09 May/09 Jun/09 Jul/09
S&P 500 Index Europe Game Index North America Game Index Asia Game Index
Note: the companies making up each index are those listed in the corresponding comps in the following pages. The indexes are based on a weighted market cap and are rebased to 100 at the start.
July 2009 Source: Capital IQ, Company Filings, Brokers & Press 3
Avista
Video Game Briefing Partners
Microsoft Online Tencent Games
210+ plus Kongregate AOL Games NHN Games
companies EA Online
Realnetworks Games
with $10 .1 Miniclip Spil Games Wild Tangent Viacom Online
billion+ in Gungho Gamania
annual Yoyogames iwin Yahoo Games
Zapak Playfirst Ourgame Duowan Astrum
revenue
Roblox Cafe.com Ganymede
Most Diverse Games2win Alawar Big Fish Oberon MLG Shanda
Fettspielen Gala-net
9you
Zynga Geewa Popcap Aeria Run Up Mgame
Jagex Netease Games
Moli Group
Acclaim
Sony Online (SOE) NcSoft
Level Up Games Bigpoint
Gameforge CJ Internet
Viwawa Liveplex
Gamepot
Macrowell
Prizee Gigamedia Games Gamigo Hanbitsoft
Portfolio Diversity
Cubinet Vinagame
Weeworld Netdragon ESL The9
Guangyu Huaxia
Playdom Sing-Gium Softstar IGG Chinese Gamer Gameon
Lizard CIB Net Station WeMade Entertainment
Nexon GameCyber