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Jam City, the publisher of the mobile game, has decided to discontinue its plan to be made public by a special purpose acquisition company (SPAC) “due to current market conditions”. Under that plan, Jam City would be valued at 1.5 billion.

Jam City did not comment further. Los Angeles publisher of games like Cookie Jam and Harry Potter: Hogwarts Mystery announced in May that it plans to go public through SPAC, which operates under the name DPCM Capital. Both companies announced on Friday that they are terminating their merger agreements due to market conditions (i.e., volatility), and DPCM will evaluate other merger targets.

As part of the deal, Jam City said it would acquire Montreal-based game publisher Ludia for $ 175 million. Ludia makes games based on this Jurassic World Film and other titles. I hear that Jam City still wants to acquire Ludia, but now it will have to provide alternative financing for the deal.

When Jam City announced SPAC in May, share prices for DPCM remained flat rather than rising. It was an early indicator that Wall Street was cooling the terms of the deal. And the general volatility of the stock market has not helped matters. Other companies like Roblox have seen strong performance in the stock market. But there are other game-related SPXs. There are those who are still waiting for the market window.

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According to Drake Star Partners, the game market has been hot all year round with deals worth billion 60 billion in the first six months of the year. The big question is whether the market window is closing.

Chris Devolfe (left) and Josh Ugado are co-founders of Jam City.

Above: Chris Devolfe (left) and Josh Ugado are the founders of Jam City.

Image Credit: Jam City

Josh Ugado and Chris Devolf, founder of MySpace, started Jam City in 2010, and they guided it to become one of the largest mobile game companies with a ga ties relationship with Hollywood.

Amidst a sea of ​​competition on mobile devices, Jam City has spawned casual games that people play for short periods of time. Hit titles include Cookie Jam, Panda Pop, Harry Potter: Hogwarts Mystery, Disney Emoji Blitz and Family Guy: The Quest for Stuff. Jam City Games has 1.3 billion downloads, and the company has 31 million monthly active users, who noted in May.

At the end of the first quarter, Jam City had more than 825 employees and nine studios. If it succeeds in acquiring Ludia, it will add about 400 employees.

History of Jam City

DeWolfe joined forces with former 20th century Fox executive Ugado, and cofounders Berber Whitcombe and Colin DeGiro to start the company in 2010. Fields started.

Mindgalt grew up acquiring SGN and Haplas Media in 2011, and changed its name to SGN in 2012. In 2013, the company acquired Mob Science. In 2013, he launched Panda Pop and Match-3 puzzle game Cookie Jam. By December 2020, Lifetime bookings by Panda Pop had generated $ 5 million and અને 9090 million by Cookie Jam.

In July 2015, South Korea’s NetMarble invested 130 130 million in SGN, becoming its largest shareholder. SGNA bought Fat Rascal Games and Kiwi in late 2015, and in July 2016, it bought Tinico, the creator of Family Guy: The Quest for Stuff.

It was renamed Jam City in September 2016 and hit 1 1 billion in lifetime bookings in 2017. In April 2018, Jam City released Harry Potter: The Hogwarts Mystery. He bought the UK Games studio in Toronto with Bingo Pop in November 2018 and that year, he cut a deal with Disney for a multi-year licensing deal and took over Disney Emoji Blitz. Jam City raised a further 14 5,145 million in January 2019 from JPMorgan Chase Bank and Bank of America Merrill Lynch. He bought 231 planes in Berlin in April 2019.

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