Nexon announced that it was withdrawing from mobile game publisher 6Waves and would sell its 34.8 percent stake in the company to Stillfront Group, but things didn’t entirely turn out that way.
Stillfront Group announced that it is preparing to fully acquire 6Waves for $201 million, 92 percent in cash, and the remaining 8 percent in newly issued Stillfront shares; the acquisition took place today.
Stillfront stated that the firm’s decision is due to the significant potential for localizing and publishing its games in Japan and East Asia and the release of 6Waves games in Europe, North America, and MENA regions.
Jörgen Larsson, CEO of Stillfront Group, had this to say before the acquisition:
“We are very excited to be able to welcome 6waves to the Stillfront family. Stillfront has a long and proven history of developing and publishing evergreen strategy games, and 6waves’s titles fit perfectly into our portfolio. Expanding our presence in East Asia and specifically Japan, has been a strategic priority for Stillfront and we are happy that we have found such a talented team to help us on that journey. 6waves has built a very strong reputation as the leading publisher of strategy games in the Japanese market and we cannot wait to work closer with them as a part of Stillfront.”
Rex Ng, President of 6Waves, added:
“We are incredibly happy to become a part of the Stillfront family. Stillfront has built an impressive position within free-to-play globally and we look forward to playing an important role in the group’s expansion in Japan and East Asia.”
The down payment price paid to 6waves sellers on January 31, 2022, amounted to $201 million in cash and was debt-free. The new share issuance was decided on 31 January 2022 by the Stillfront board of directors, based on the authorization given at the Extraordinary General Assembly held on 4 October 2021.
The operational founders and other key employees at 6waves will remain with 6waves and will be covered by the earnings contract from 2022-2025 as part of 6waves management upon transaction completion. All other conditions for completion have been met. 6waves will be consolidated in Stillfront’s consolidated financial reporting effective February 1, 2022.