Seoul: NCSOFT Corp., a major South Korean gamemaker, announced its acquisition of Singapore-based mobile game publisher Indygo Group as part of its strategy to enhance its focus on the mobile casual game sector. The acquisition is seen as a new growth driver for the company, which is traditionally known for its massively multiplayer online role-playing games (MMORPGs).
According to Yonhap News Agency, NCSOFT purchased a 67 percent stake in Indygo Group for 153.4 billion won (US$103.8 million), making it the largest shareholder of the Singaporean firm. Indygo Group owns Vietnam-based game developer Lihuhu, renowned for its casual and puzzle games. Lihuhu is projected to achieve 120 billion won in sales by 2025, with a significant portion of its revenue stemming from North America and Europe.
Park Byung-moo, co-chief executive officer (CEO) of NCSOFT, stated that the acquisition of Lihuhu establishes a growth foothold in the global mobile casual game market. He expressed expectations for Lihuhu to become a hub for casual game development in the Asian region.
In addition to this acquisition, NCSOFT plans to acquire Korean mobile casual game studio Springcomes, which is anticipated to generate 28 billion won in sales by 2025. These strategic moves aim to bolster NCSOFT's casual game portfolio.
NCSOFT has also established a mobile casual center, which aims to build a new ecosystem that integrates the company's development, publishing, data sharing, and technological capabilities. The company is actively engaging in talks with European studios for further mergers and acquisitions.
Park further mentioned that alongside mergers and acquisitions, NCSOFT is seeking business collaborations with multiple global game studios to expand its casual game business.