• Glu, based in San Francisco, received several takeover offers last year. EA is experiencing a wave of acquisitions, as it has a strong balance sheet;
• In December, the company acquired the British Codemasters for $1.2 billion.

On Monday, Electronic Arts announced video game producer Glu Mobile‘s acquisition for $2.4 billion, strengthening its mobile portfolio with games such as Design Home, Covet Fashion, and MLB Tap Sports Baseball.

READ ALSO: Mobile experiences and subscription online services among Electronic Arts’ main bets to grow on top of its large franchises

The US-based video game developer offered $12.50 for each share of Glu, a premium of about 33% compared to Monday’s closing price. Electronic Arts (EA) shares rose 1.4% after the session closed, while Glu shares rose 34%. The deal, which is expected to be completed in the quarter ending in June, estimates Glu’s market value at $2.1 billion.

READ ALSO: Activision Blizzard ends 2020 with 400 million players; Call Of Duty alone accounted for over one-fourth of them

Glu, based in San Francisco, received several takeover offers last year. EA is experiencing a wave of acquisitions, as it has a strong balance sheet. In December, the company acquired the British Codemasters for $1.2 billion.

In a presentation to investors, EA explained that Glu’s acquisitions mean more players to the company’s ecosystem – around 100 million – in addition to “over 500 best-in-class developers with mobile-first focus”.

Glu’s existing franchises almost double EA’s mobile bookings.

Co-written and translated by LABS