The creator of 'Angry Birds' is negotiating for $1. 2 Billion Investment
Rovio Entertainment, creator of the popular computer game Angry Birds, is in talks with interested investors to raise $1 in funding. 2 billion. Bloomberg writes about this, citing unnamed “informed sources” and without naming specific names of possible investors. Rovio is interested in a financial injection, although it has turned down offers from various large investors in the past.
The cash inflow will reportedly be used to further develop projects such as Movie "Angry Birds", opening new offices outside of its native Finland and boosting retail sales in China and other emerging markets.
Rovio's "The Mighty Eagle" by Peter Vesterbacka told that the Angry Birds brand became the third most copied brand in China this spring, behind only Disney and Hello Kitty. Now the company aims to strengthen its position in China to make its brand in this country "the leading brand of the entertainment industry."
This March, Rovio has already raised $42 million in funding from investors including Atomico (the company of Skype co-founder Niklas Zennstrom) and Facebook investor Accel Partners.
Vesterbacka said the company owes much of its success to the iPhone, which "changed everything." According to him, Apple opened distribution channels, which allowed developers to contact directly with end users. The company's management also expressed confidence that the Apple platform will be "number one" for developers for a long time to come.
On the contrary, the Google Android platform has repeatedly caused various difficulties for developers. Late last year, Rovio apologized to users for not being able to achieve "optimal performance" on Android due to fragmentation issues.
Rovio's success has also been an opportunity for some companies to reap their own benefits. Late last month, patent troll Lodsys added Rovio to the list of defendants in a patent lawsuit against numerous iOS and Android developers for patent infringement related to in-app sales.
If Rovio receives $1. 2 billion, it can compete with a competitive $1 deal. EA's $3 billion investment in PopCap Games, which developed the hit iOS game Plants vs. Zombies" (Plants vs. Zombies). In what was EA's largest deal ever, $650 million in cash and $100 million in EA stock goes to PopCap, and $550 million is invested directly in specific product lines.