REDWOOD CITY, Calif.-Game-making giant Electronic Arts Inc. will shell out $680 million in cash to acquire mobile publisher Jamdat Mobile Inc., the companies announced after Wall Street’s closing bell.
EA will pay $27 per share for Jamdat under the terms of the deal. Shares of Jamdat closed at $22.77 on the Nasdaq, and jumped to $23.75 in after-hours trading on the news.
The world’s largest publisher of console games waded into mobile game-making earlier this year with an in-house effort, but industry watchers expected the company eventually to buy its way into the market with a blockbuster acquisition such as Jamdat.
The two mobile businesses will be combined as one team, with Jamdat Chief Executive Officer Mitch Lasky heading the business. “The combination of EA and EA Sports, along with Jamdat’s casual blockbusters like Tetris, Bejeweled and Jamdat Bowling, will create a powerful lineup,” Lasky said.
EA announced plans to publish more than 50 wireless games in the year following the completion of its acquisition of Jamdat.
