Today we are thrilled to announce an agreement with The Walt Disney Company to acquire FoxNext Games Los Angeles and Cold Iron Studios in San Jose. FoxNext Games LA is behind the blockbuster hit MARVEL Strike Force, a story-driven, squad-based RPG that has become one of the top mobile games in the world.
Following a transformative 2019 for Scopely, this acquisition is on the heels of a number of recent milestones, including: the achievement of more than $1B in lifetime revenue last summer, the acquisition of Star Trek Fleet Command developer DIGIT Game Studios, global expansion across Europe, Asia and North America, and a Series D strategic financing round. This acquisition aligns with our consolidation strategy and we are thrilled to see what more we can do together.
The acquisition adds another top-grossing game to our live service portfolio with MARVEL Strike Force, expands our in-development pipeline, and brings a highly experienced team to Scopely’s business.
The FoxNext Games LA studio released its debut title MARVEL Strike Force in March 2018 and it immediately found an audience with phenomenal player retention, bringing in more than $180 million in 2019 alone.
The LA studio is also developing the MMO strategy game experience Avatar: Pandora Rising. Based on James Cameron’s Avatar, the game aims to set the stage for the upcoming sequels to the blockbuster franchise, creating a deeply immersive game experience designed to reconnect fans with the rich and visually stunning Avatar universe.
The acquisition further solidifies our position as the largest private independent mobile games publisher in the West, with one of the strongest slates in the industry.
As we shared publicly last year, Scopely is looking to further grow its business both organically with our slate of products and inorganically through transformative acquisitions. With one of the largest and most successful mobile games: MARVEL Strike Force, the FoxNext Games LA studio aligns perfectly with our strategy to acquire world-class products and teams. The game has generated incredible player retention and is produced by one of the best studios in the world.
“We have been hugely impressed with the incredible game the team at FoxNext Games has built with MARVEL Strike Force and can’t wait to see what more we can do together,” said Tim O’Brien, Chief Revenue Officer at Scopely. “In addition to successfully growing our existing business, we have been bullish on further expanding our portfolio through M&A, and FoxNext Games’ player-first product approach aligns perfectly with our focus on delivering unforgettable game experiences. We are thrilled to combine forces with their world-class team and look forward to a big future together.”
“I’m extremely proud of what our talented team at FoxNext Games has built and accomplished in just a few years, and look forward to joining forces with the impressive team at Scopely, who have a well-deserved reputation as one of the preeminent companies in the free-to-play games arena,” said Aaron Loeb, FoxNext Games President.
Added Amir Rahimi, FoxNext Games Senior Vice President & General Manager: “Both FoxNext Games and Scopely are committed to bringing beloved worlds to life through interactive gaming experiences designed to be played for years to come, and we believe this shared focus, coupled with our businesses’ unique strengths and Scopely’s expertise across multiple game genres, will lead to even greater success in the future.”
Aaron will join Scopely in a newly created executive role and Amir will lead the FoxNext Games Los Angeles studio within Scopely as President, Games. They both represent the strength of FoxNext Games’ leadership and will further deepen Scopely’s bench of top games talent. Their combined experience from across the industry and shared entrepreneurial spirit will bolster our global Game Team Ecosystem. The vision and values shared by Scopely and FoxNext Games extend beyond making unforgettable experiences, to significant synergies between teams, culture, and location.
Here we go!