Electronic Arts Acquires Respawn for Up to $455M

0

Respawn Entertainment, the video game company behind the “Titanfall” franchise, has been acquired by Electronic Arts Inc. in a deal valued at up to $455 million.

Respawn, in Sherman Oaks, has already been in business with Electronic Arts as the Redwood City-based company has been the publisher of the two “Titanfall” games Respawn has developed.

Electronic Arts will pay $151 million in cash and up to $164 million in restricted stock units to employees that vest over four years. Additionally, the company may be required to pay up to a maximum $140 million contingent upon reaching certain performance milestones related to the development of future titles through the end of 2022.

Chief Executive Vince Zampella said that now was the time to join an industry leader that brings resources and support Respawn needs for long term success.

“EA has been a great partner over the years with ‘Titanfall’ and ‘Titanfall 2,’ and we’re excited to combine our strengths,” Zampella said in a prepared statement. “This is a great next step for Respawn, EA, and our players.”

Madler is a staff reporter for the San Fernando Valley Business Journal, a sister publication of the Los Angeles Business Journal

No posts to display