EA Spends $680 Million to Acquire JAMDAT

Move is seen as a sign to grow leading video game publisher's mobile games business.

Electronic Arts yesterday announced they’d an acquisition agreement under which they will take over JAMDAT Mobile, a publisher of wireless entertainment applications. EA will pay $27 per share of common stock and assume outstanding stock options for a total of $680 million.

EA and JAMDAT, which will merge with EA’s worldwide mobile games operations, will be lead by JAMDAT CEO Mitch Lasky. The combined operation plans to publish over 50 games for mobile phones in the first twelve months following the completion of the acquisition, including popular titles like Tetris, Bejeweled, JAMDAT Bowling, Need For Speed, EA SPORTS Madden NFL Football and EA SPORTS FIFA Soccer.

“This is an important strategic acquisition for Electronic Arts,” said EA Chairman and Chief Executive Officer Larry Probst. “Together we intend to build a leading global position in the rapidly growing business of providing games on mobile phones. We look forward to the JAMDAT team joining EA.”