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Giant Interactive plans acquisition to fuel growth in mobile games
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GIANT Interactive plans to acquire a mobile application distribution platform firm to expand, the Shanghai-based online game firm said today.
Traditional online game makers have increased investment in mobile games as revenue from client-end games, which require computers to play, dropped in the third quarter, analysts said.
"We are talking about acquiring one of the top five mobile application platforms in China," said Ji Xuefeng, Giant's president.
Possible takeover targets include Tencent, Wandoujia and 360, but Ji declined to reveal more details as negotiations are ongoing.
Baidu.com Inc paid US$1.9 billion to acquire mobile application distribution platform 91 in 2013.
Mobile gaming is increasingly popular due to the penetration of smartphones in China.
In the third quarter client-end game revenue dipped 1 percent year on year to 14.08 billion yuan (US$2.29 billion), according to Analysys, a Beijing-based research firm.
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