(Alliance News) - Draper Esprit PLC on Monday said the value of its holding in Peak Games will be boosted, after the investee entered into an agreement to be acquired by social game developer Zynga Inc in a USD1.8 billion deal.
Zynga on Monday said it had struck a deal to acquire Turkish-based rival Peak, maker of the popular Toon Blast and Toy Blast games.
Investor Draper Espirit said the value of its holding in Peak could rise to a GBP80 million, a GBP12 million uplift, once the deal Zynga deal gets over the line.
"The fact that this transaction has been executed against the current backdrop of wider economic uncertainty is testament to the attractiveness of Peak's proposition, its strong recent trading performance following increased demand for its games and the immense potential the business has to build on its existing position as one of Europe's most attractive, high growth video games developers," Draper Chief Executive Officer Martin Davis said.
Draper shares ended 5.5% higher at 478.00 pence each in London on Monday.
By Eric Cunha; ericcunha@alliancenews.com
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