Kongregate was sold to a Swedish Entertainment Company for $55 million!
This comes as a surprise to many in the gaming industry as this number was actually quite low. Kongregate recently surpassed 100 million downloads for all their mobile games. Kongregate draws 14 million monthly active users across mobile and web platforms. It has more than 100,000 games on its browser platform located at Kongregate.com. The company only has 80 employees.
Kongregate started as a web gaming portal by two siblings who are brother-and-sister, Jim and Emily Greer, in 2006. In 2010, the company was sold to GameStop. Jim Greer left Kongregate in 2014, but Emily Greer stayed on as president of Kongregate.
Kongregate expected to generate net sales of at least $50 million in 2017 with an earnings before income taxes, depreciation, and amortization (EBITDA, a measure of profitability) margin of approximately 10 percent.
The CEO and MTG president, Jorgen Madsen Lindemann, said, “Online gaming is one of our three digital entertainment verticals, and we are establishing a presence in a gaming industry expected to be worth some USD 130 billion in 2020, of which mobile gaming is the fastest growing segment. Almost a third of the time people spend on mobile devices each day is spent gaming. We look forward to welcoming the high quality, hugely talented and well proven Kongregate team to MTG.”
Do you have an account on kongregate.com?