Saudi Arabia’s Savvy Games To Buy Gaming Company Scopely For $4.9 Billion

Updated on: 7 April 2023 5:48 pm

The report revealed that Paid Competitive Gaming, a relatively new form of gaming, is set to become one of the fastest-growing gaming segments, with a CAGR of 31.9 per cent from 2021 to 2024, compared to the overall mobile gaming industrys 4.9 per cent

Paid Competitive Gaming To Grow 6X Faster Than Overall Gaming Market: Study Photo: The report revealed that Paid Competitive Gaming, a relatively new form of gaming, is set to become one of the fastest-growing gaming segments, with a CAGR of 31.9 per cent from 2021 to 2024, compared to the overall mobile gaming industry's 4.9 per cent

Saudi Arabia's Public Investment Fund-owned Savvy Games has bought California-based Scopely for $4.9 billion, in what is touted as one of the largest-ever gaming acquisitions.

According to Savvy, this acquisition will strengthen its ability to deliver new products to the global gaming community. The Middle Eastern company will build on Scopely's cross-platform approach to extend its live services expertise to new segments like PC, console and more.

Brian Ward, Group CEO of Savvy Games, said, "Scopely is one of the fastest-growing games companies today. We have long admired their ability to build loyal, engaged player communities. At Savvy Games Group, we aim to invest in—and grow—the global games community by inviting the best minds to join us."

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Scopely will function as an independent company under the Savvy umbrella, led by its co-CEOs, Walter Driver and Javier Ferreira.
"As part of the Savvy Games Group portfolio, we will continue to build one of the world's most diversified mobile-first games companies," said Ferreira. "Our technology platform, market-leading studio ecosystem, and the world-class team have always enabled us to stay one step ahead of the rapidly growing games industry, delivering long-lasting franchises that delight players worldwide."

Founded in 2011, Savvy Games is the creator of mobile-first games like Yahtzee With Buddies, Star Trek Fleet Command, Marvel Strike Force, Stumble Guys and Scrabble Go.

The Saudi Arabian sovereign wealth fund announced last year that it would invest $38 billion in gaming, including $13 billion for game studio acquisitions. Over the past year and a half, it invested $1 billion in Swedish gaming group Embracer and increased its minority stakes in Nintendo, Electronic Arts, and Take-Two Interactive.

In October 2020, Los-Angeles based Scopely raised $340 million in Series E funding at a $3.3 million valuation. Investors backing the gaming company included Wellington Management, NewView Capital, TSG Consumer Partners, Canada Pension Plan Investment Board, funds managed by BlackRock, D1, Battery Ventures, Eldridge, Declaration Partners, Moore Strategic Ventures, Greycroft, Baillie Gifford, Sands Capital, Revolution Growth and Highland Capital Partners.

The company also acquired a string of popular brands, including Disney's FoxNext Games in 2020. A year later, Scopely acquired Sony Pictures Entertainment's GSN Games for $1 billion.