Electronic Arts Inc. has agreed to acquire Glu Mobile Inc. for $2.1 billion in enterprise value, according to the company’s press release. Glu stockholders will receive $12.50 in cash for each share of Glu, a 36% premium of the acquiree’s closing price on February 5, 2021.
- The combination of Electronic Arts with Glu will create a leading mobile product portfolio with a combined $1.32 billion in bookings over the last twelve months.
- The combined organization will build on EA’s network of 430 million players, including more than 100 million monthly active mobile players, and expand to new audiences and demographics.
- The transaction is expected to grow Electronic Art’s underlying profitability beginning in its first year.
Electronic Arts and Glu Mobile stocks are currently gaining. EA: NASDAQ is up 0.94% on premarket, GLUU: NASDAQ is up 33.33% on premarket.