Bigpoint in €70 million buy-out

Multiplayer online games developer Bigpoint is set to be acquired by two private equity funds.

GMT Communications Partners and the Peacock Equity Fund are expected to close the €70 million (£56 million) majority buy-out by the end of August.

GMT is a private equity group investing exclusively in the European communications sector, while the Peacock Equity Fund is a joint venture between GE Commercial Finance (the venture arm of General Electric) and US media and entertainment group NBC Universal.

The two investors will support Hamburg-based Bigpoint’s expansion in Europe, the US and Asia through the development of new games, distribution platforms and marketing initiatives. Bigpoint is to grow its US business through a partnership with NBC Universal, resulting in the acquired company’s games being featured within NBC’s online networks.

The selling stakeholders in the transaction are Aurelia Private Equity, European Founders Fund and United Internet Beteiligungen, all of them Germany-based investors.

Heiko Hubertz, founder and CEO of Bigpoint, comments: ‘As more people spend more time online and web-based technologies improve, our sector is enjoying enormous growth. With both GMT and NBCU’s backing we feel we are in a very strong position to capitalise on this growth across the globe.’

Bigpoint hosts more than 20 free multiplayer games which run without the need for downloads. Its revenues come from in-game virtual item purchases and advertising sales.

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Marc Barber

Marc Barber

Marc was editor of GrowthBusiness from 2006 to 2010. He specialised in writing about entrepreneurs, private equity and venture capital, mid-market M&A, small caps and high-growth businesses.

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