Mobile Games Company Scopely to Be Acquired by Saudi-Backed Savvy Games Group for $4.9 Billion
Savvy Games Group announced an agreement to acquire Scopely, a maker of mobile games including “Star Trek Fleet Command,” “Marvel Strike Force,” “Looney Tunes World of Mayhem,” “Scrabble Go” and “Yahtzee With Buddies,” in a deal valued at $4.9 billion.
Savvy, a games and esports company that is wholly owned by Saudi Arabia’s Public Investment Fund, said the acquisition will “strengthen Savvy’s global position, whilst enabling Scopely to accelerate its growth and achievement of its strategic objectives.” The acquisition is subject to regulatory approval.
Scopely will be an “autonomous operating company” under the Savvy umbrella, joining other companies in its portfolio such as esports brand ESL FaceIt Group. Founded in 2011, L.A.-based Scopely had a $3.3 billion post-money valuation in 2020 after raising a $340 million funding round. Scopely’s valuation had climbed to $5.4 billion after it acquired GSN Games from Sony for $1 billion in 2021.
Scopely will continued to be led by co-CEOs Walter Driver and Javier Ferreira. Savvy Games is led by CEO Brian Ward, who previously worked at Activision Blizzard, Microsoft Games Studios and Electronic Arts.
“Scopely is one of the fastest-growing games companies today, and we have long admired their ability to build loyal, engaged player communities,” Ward said in a statement. “Under Walter and Javier’s stewardship, Scopely has proven to be an exceptional leader and will continue to revolutionize the future of games for years to come.”
Driver said in a statement, “Savvy Games Group shares our long-held belief that the companies who have built the deepest relationships with their players will succeed. Together, as one, we will be able to further expand the possibilities of play, continuing to develop beloved game experiences for players around the world. This transformational partnership is a great validation of the incredible talent of our entire Scopely team and will further accelerate our efforts to drive the games industry forward.”
Added Scopely’s Ferreira, said, “As part of the Savvy Games Group portfolio, we will continue to build one of the world’s most diversified mobile-first games companies. Our technology platform, market-leading studio ecosystem, and 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 around the world. We look forward to reimagining the future of play with Brian and the Savvy team.”
Scopely long list of investors includes the Chernin Group, NewView Capital, TSG Consumer Partners, the Canada Pension Plan Investment Board (CPP Investments), BlackRock, D1, Battery Ventures, Eldridge, Declaration Partners, Moore Strategic Ventures, Greycroft, Baillie Gifford, Sands Capital, Revolution Growth, Highland Capital Partners and Wellington Management.
J.P. Morgan acted as lead financial adviser to Savvy on the transaction alongside Bank of America and Aream; Latham and Watkins acted as legal adviser. For Scopely, Goldman Sachs acted as financial adviser; Skadden, Arps, Slate, Meagher & Flom acted as transaction counsel; and Goodwin Procter acted as corporate counsel.
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