UTV Interactive, the gaming arm of UTV Software Communications Ltd, has entered into an agreement to acquire 80 per cent stake in True Games Interactive, a US-based online game publishing start-up.
This acquisition is in keeping with UTV’s strategy of inorganic growth that the company has achieved in the past 18 months in the interactive vertical through acquisitions of UK-based console developer, Ignition Entertainment Ltd, and mobile gaming company Indiagames Ltd. With this latest acquisition, UTV is now present across all platforms of gaming – console, online and mobile.
Commenting on the development, Preneet Malhotra, CEO, UTV Interactive, said, "Online gaming is the platform of the future once broadband penetration reaches across world markets. While this phenomenon is led by Asia, it has started gaining traction in the West as well. The True Games acquisition gives UTV not only presence in the international online gaming space – both in content creation and publishing – but is also a major step towards achieving UTV’s 360-degree gaming vision.”
True Games brings to UTV Interactive a model that is focused on the online multiplayer game model, which accounts for nearly half of the worldwide online game revenues. At the same time, it gets UTV started in the online gaming space with development, IP ownership and publishing, which is in keeping with the UTV Group business model of B2C and creating and owning IPR. In addition, the True Games business model includes group content and publishing expertise in emerging markets like Turkey and India, among others, in the future.
Bob Drobish, CEO, True Games, said, “The benefits and opportunities that come with joining the growing UTV Interactive family are endless. With this partnership, we have not only received financial backing, but have also joined a group that offers vast expertise and experience in many areas of entertainment.”