Modern Times Group MTG AB has recently announced the signing of an agreement facilitating the acquisition of its USA and Chilean-based studio, Kongregate, by US studio Monumental. This deal will result in MTG obtaining a 30% stake in the combined entity.

The merger brings together two gaming companies, both led by Monty Kerr, who share a vision for the future of gaming. With extensive experience in traditional mobile gaming, both studios possess the expertise to enhance the combined portfolio, which boasts more than 40 titles.

Maria Redin, MTG’s Group President and CEO, expressed satisfaction with the agreement, stating, “We are happy to have found the right home for the next chapter in Kongregate’s journey. Monumental has a strong track record of managing and growing games, and we are convinced that combining the two portfolios is the right step forward. I wish the teams the best of luck as they now begin their journey together.”

Monty Kerr, CEO of Monumental, also expressed enthusiasm about the merger, stating, “We are overjoyed to welcome Kongregate into the Monumental family. We can’t wait to see what comes next, and we’re incredibly excited to be part of Kongregate’s future.”

The transaction has been finalized and will be reflected in MTG’s financial results for the first quarter of 2024. MTG’s 30% shareholding in Monumental represents less than 20% of the votes in the company. It will be reported as a financial asset on MTG’s balance sheet under the “Shares and participations in associated and other companies” category. Following the acquisition, Kongregate will be fully integrated into Monumental.

Source: adapted from an article by Baytan Uğur Yem, Author for Mobidictum.