Zynga To Acquire Mobile Gaming Company Peak In $1.8 Bln Cash And Stock Deal - Quick Facts

(RTTNews) - Interactive entertainment company Zynga, Inc. agreed Monday to acquire Istanbul-based mobile gaming company Peak for $1.8 billion, comprised of approximately $900 million in cash and approximately $900 million of Zynga common stock. Peak is the creator of top charting mobile franchises Toon Blast and Toy Blast.

Through the deal, Zynga acquires two Forever Franchises from Peak to expand Zynga's portfolio to eight Forever Franchises. It will also increase Zynga's Mobile Daily Active Users (DAUs) by more than 60%, while strengthening Zynga's international audience. Collectively, Toon Blast and Toy Blast have more than 12 million average mobile DAUs.

The final upfront transaction consideration will also include customary closing adjustments, and the transaction is expected to close in the third quarter of 2020.

Zynga also updated its revenue guidance for the second quarter and full year 2020, excluding any contributions from Peak.

Zygna now projects revenues of $430 million for the second quarter and $1.69 billion for the full year 2020. Previously, it expected revenues of $400 million for the second quarter and $1.65 billion for the full year. On average, analysts polled by Thomson Reuters expect revenues of $421.43 million for the quarter and $1.76 billion for the year.