German investment group Catalis has reportedly made a £4.38 million ($8.61m) bid for British developer Kuju, creators of games ranging from EyeToy: Play 3
on the PlayStation 2 to Battalion Wars II
on the Wii.
The deal has already been recommended to stockholders by the board of directors and irrevocable acceptances obtained from around 54.6 percent of the outstanding share capital. The offer values Kuju shares, which are traded on the Alternative Investments Market (AIM) of the London Stock Exchange, at 25p (49 cents) - well above the last closing value of 16p (31 cents).
Kuju CEO Jonathan Newth commented: "We are pleased that CDS has today announced its offer for Kuju. The offer price of 25 pence per Kuju share represents an attractive premium to the current Kuju share price. Kuju is operating in a fast growing market which is consolidating and the Kuju directors believe that there are considerable benefits to Kuju in becoming part of an enlarged, diversified organization with greater critical mass. Catalis operates in complementary markets to Kuju and its customers and the combination of both companies will create a digital media services business of significant scale."
Robert Kaess of the Catalis management board, added: "Catalis are looking forward to working with Kuju, growing the enlarged group into a scaleable digital media business. The acquisition strengthens Catalis' position to take advantage of trends in the digital media industry."