Playtika has attracted some interest from buyout firms, according to the latest report. The Israel-based mobile publisher might be the subject of a takeover, though no agreement has yet been reached.
Playtika has been working with advisers since last year, Bloomberg reported citing people familiar with the matter. Several private equity firms are now interested in taking over the company, and the process has now regained momentum.
As a result, the publisher’s shares increased by 5.9% to $12.37 on Monday, with its market value reaching $4.5 billion. However, Playtika declined to comment on the potential buyout to Bloomberg.
In February 2022, Playtika announced a strategic review, with The Raine Group as its financial advisor. The results of this review could include a “sale of the company or other possible transactions.”
“The goal of the strategic evaluation process we are announcing today is to ensure we are taking every step possible to maximize value for our stockholders,” Playtika CEO Robert Antokol said at the time. “We have always been focused on growing our core business through our investments in people and technology. I am incredibly proud of our results as a leader in mobile gaming and entertainment.”
Last December, Playtika laid off over 600 employees and shut down three titles as part of the announced restructuring. The company said it wants to close non-core initiatives and consolidate some of its first-party studios.
Earlier this year, the social casino games publisher offered to buy Rovio for about €750 million. The Angry Birds developer later confirmed that the talks took place, but other details remain undisclosed.
Last month, Playtika reported $2.61 billion in revenue for the full year ended December 31 (up 1.2% year-over-year). On top of that, the company announced its decision to freeze new game development, saying it will start launching new titles again only when the ROI for them is “economically valuable.”