TIGA, the trade association representing the video games industry, released a new report today which emphasised that successful acquisitions in the games sector often depend on people in the two companies being able to work together. TIGA made the comments in a new report, Acquisitions, which collates the experiences of several games companies and highlights the following key factors to consider when acquiring or being acquired:
- The right people at the right time: it is essential that the people in the two companies can work together. The money and the intricacies of the deal are secondary considerations.
- Aligned interest: it crucial that the people in the acquiring and acquired companies have aligned goals and have a joint vision for the acquisition.
- Learning opportunity: an acquisition should be seen as an opportunity to learn from the strengths of others, acquire new ideas and facilitate new business opportunities.
- Be prepared to walk away: always be ready to avoid an acquisition if the negotiations reveal serious difficulties or insurmountable challenges.
Dr Richard Wilson OBE, TIGA CEO, said:
“Successful acquisitions can enable companies to grow more quickly, secure valuable IP, access highly skilled teams and technology and find new routes to market. However, unsuccessful acquisitions can be expensive and produce disappointing results. TIGA’s new Acquisitions report provides games businesses with practical advice from companies with real experience of acquiring and being acquired.”
Jason Kingsley OBE, CEO and Creative Director at Rebellion, said:
“The most important factor behind a successful acquisition is whether you can work with the people involved. You need to be able to get on with them as people. They need to fit in and mesh with the existing company. The money, the deal is of secondary importance. The vital consideration is whether you can work with the people involved.”
TIGA members can secure a copy of Acquisition by contacting Suzi Stephenson at: suzi@tiga.org