Video Game Briefing
March 2010
Avista
Video Game Briefing Partners
Table of Contents
Last 30 Days Review:
Highlights
Recent Fundraising Deals
Recent M&A Deals
Game Index Performance by sub-sector (LTM)
Game Index Performance by region (LTM)
Online Game/ Virtual World Universe
Stock Comps (by sector & ranked by enterprise value):
PC/ Console Game Publishers/ Developers
Game Distributors/ Accessory Companies
Game Outsourcing Companies
Payment Companies
Mobile Game Companies
Online Game Companies
M&A Comps (LTM & ranked by date):
Mobile Game M&A Comps
Game Distribution/ Accessory M&A Comps
Game Technology/ Middleware M&A Comps
Game Outsourcing M&A Comps
Payment M&A Comps
PC/ Console Game M&A Comps
Online Game M&A Comps
Fundraising Comps (LTM & ranked by funding amount):
PC/ Console Game Fundraising Comps
Payment/ Offer/ Analytics Fundraising Comps
Mobile Game Fundraising Comps
Game Hardware Fundraising Comps
Game Technology/ Middleware Fundraising Comps
Online Game Fundraising Comps
Key Developments in the game sector (global to 31 March 2010)
March 2010 Source: Capital IQ, Company Filings, Brokers & Press 2
Avista
Video Game Briefing Partners
Last 30 Days Review
Highlights:
• Market Cap for all public companies in global game sector is $119.4 billion
• Over $41m of M&A deals in global sector (Last 30 days)
• Over $63m raised in global sector (Last 30 days)
• The Mobile Game Index is the best performing game sector index at +115.6% (LTM)
• The Asia Game Index is the best performing regional game index at +27.2% (LTM)
• Online Game/ Virtual World Universe has 260+ companies generating over $12.4 billion in annual revenue plus we are tracking 300+ additional new companies
Recent Fundraising Deals
Total
Transaction
Date Target/Issuer Transaction Type Value ($mm) Investors Location
Online Games
03/26/2010 Renaissance 2.0 Media (Secret Builders) Private Placement 2.3 The Entrepreneurs Fund III and angel investors USA
03/25/2010 Up Web Game GmbH Private Placement - Swiss RapidTainment AG and German High-Tech Grunderfonds Germany
03/24/2010 Avatar Reality Private Placement 4.2 Kolohala Ventures and Henk Rogers USA
03/23/2010 Possibility Space Private Placement 1.5 - China
03/22/2010 Double Fusion Private Placement - Jerusalem Venture Partners USA
03/17/2010 MetroGames Private Placement 5.0 Playdom USA
03/16/2010 World Golf Tour Private Placement 10.0 JAFCO Ventures, Battery Ventures, Panorama Capital USA
03/09/2010 Shanghai Youqu Network Technology Co Private Placement - Delixi Group Corporation China
03/03/2010 Playnatic Entertainment Private Placement 10.0 Parta Group Russia
03/03/2010 Exponential Entertainment Private Placement 1.7 Band of Angels and other angel investors USA
03/03/2010 Freeze Tag Private Placement 0.3 Angel Investors USA
03/03/2010 Platform G (Mindjolt) Private Placement - Austin Ventures USA
Game Technology
03/11/2010 Image Metrics Limited Private Placement 8.0 - USA
Payment
03/25/2010 C$ cMoney Inc. Private Placement 15.0 Kodiak Capital Group USA
03/03/2010 Kwedit Private Placement 3.3 Maveron LLC USA
03/02/2010 Venmo Private Placement 0.4 Betaworks, Lerer Media Ventures and RRE Ventures USA
PC/ Console Games
03/19/2010 eGames Inc. Private Placement 0.5 - USA
03/17/2010 Interplay Entertainment Corp Private Placement 1.0 Dot Corp USA
March 2010 Source: Capital IQ, Company Filings, Brokers & Press 3
Avista
Video Game Briefing Partners
Recent M&A Deals
Total Implied Implied Implied
Transaction Enterprise Implied Enterprise Enterprise Enterprise
Date Target/Issuer Value ($mm) Buyers/Investors Value ($mm) Value/Revenues Value/EBITDA Value/EBIT
Mobile Games
03/23/2010 Sennari (assets) - Connect 2 Media - - - -
PC, Console Games
03/02/2010 Media Molecule - Sony Computer Entertainment - - - -
Online Games
03/30/2010 Cyber Planet Interactive Company 0.7 Hansathan Piyachatwongs 10.9 - - -
03/26/2010 C&C Media Co., Ltd. 21.0 Perfect World Co., Ltd. 21.0 - - -
03/22/2010 Red 5 Studios (majority stake) 20.0 The9 Limited - - - -
03/03/2010 northworks Software - Travian Games - - - -
03/03.2010 Mindjolt - Platform G - - - -
03/03/2010 Offbeat Creations - Playdom - - - -
Payment/ Offer Companies
03/22/2010 Tapjoy - Offerpal Media - - - -
March 2010 Source: Capital IQ, Company Filings, Brokers & Press 4
Avista
Video Game Briefing Partners
Game Index Performance by sub-sector (LTM)
The Mobile Game Index is the best performing game sector index at +115.6%
250
230
210
190
170
150
130
110
90
70
50
Apr/09 May/09 Jun/09 Jul/09 Aug/09 Sep/09 Oct/09 Nov/09 Dec/09 Jan/10 Feb/10 Mar/10
S&P 500 Index Game Distributor/ Accessory Index
Game Retailer Index Mobile Game Index
Game Outsourcing Index PC/ Console Game Index
Payment 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.
March 2010 Source: Capital IQ, Company Filings, Brokers & Press 5
Avista
Video Game Briefing Partners
Game Index Performance by region (LTM)
The Asia Game Index is the best performing regional game index at +27.2%
150
140
130
120
110
100
90
80
70
Apr/09 May/09 Jun/09 Jul/09 Aug/09 Sep/09 Oct/09 Nov/09 Dec/09 Jan/10 Feb/10 Mar/10
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.
March 2010 Source: Capital IQ, Company Filings, Brokers & Press 6
Avista
Video Game Briefing Partners
Online Game/ Virtual
NHN Games Tencent Games
World Universe has Realnetworks Games
260+ plus companies Viacom Online
Yoyogames Kongregate AOL Games Wild Tangent
with $12.4 billion+ in Zapak Spil Games
EA Online Astrum
annual revenue Miniclip iwin Yahoo Games Gungho
King.com Playfirst Ourgame Duowan Duniu GGL
6 waves
Roblox Games2win Cafe.com Ganymede
Most Diverse Feerik Big Fish Oberon Shanda Games
Alawar Microsoft Online
Fettspielen MLG
Zynga 51wan Gamania
9you Gala-net
GameDuell Geewa Motion Twin Popcap Aeria Run Up Mgame
Jagex Netease Games
Moli Group
Acclaim
Bigpoint Sony Online (SOE) NcSoft
Level Up Games
Many Players Gameforge CJ Internet
Viwawa Playdom Sky Union Liveplex
Vector Gamepot
Macrowell
Prizee Redmoon Gamigo Hanbitsoft
Portfolio Diversity Gigamedia Games
The9
Cubinet ESL
Vinagame Netdragon
Guangyu Huaxia
Weeworld
Sing-Gium Softstar Chinese Gamer Gameon
Lizard CIB Net Station
Nexon
Snail Game GameCyber WeMade Entertainment
Upjers Perfect World
Sonokong Roc Works Neowiz Games
SGN Gonzo Rosso
IP e-games DMII
High5 Asiasoft
Burda Interactive China Cyber Port
Userjoy Windysoft CDC Games
Maid Marian M-Etel IGS Online Mycnx
Games Linekong Actoz
Goorm Kingsoft Games
Headlock GoodGame VTC Game Ferry Game
Aruon First
K2/ Gamers Outspark
Lyto Gravity Garena Valve Online
Anipark Joymax Goa
OnNet X-legend Innogames Artix
Ongame Weilai Barunson
Ini3 JC Entertainment Cubizone GamesCampus
Ndoors
Gameus Shiji Tiancheng Gamehi Giant Interactive
Five Minutes
Flowplay L&K
Unalis Storm Entertainment Logic Korea C&C Media
Ankama CyberstepImperia Online Mygame.ph Dragonfly Ogplanet Games Masters
Beemoov GCREST Subagames
Jumpstart Frogster Webzen
Three Rings Kog Studios Ntreev Object
CITVC Netempire IAHGames Redduck Software
100sea Turbine
Exagame Apaja Wiseon EYA Interactive Dream Execution Gamasoft
Owlient Northstar Imazic Ymir Galaxy Gate
Hive7 Lager Network G10 Codemasters Online
Extralives
Barunson Interactive
Cipsoft
Softnyx
Hi-win InixsoftH-win
Gamelabs Dreamwork Power Challenge NetTimeSoft Changyou (Sohu)