Kongregate acquires Gamaga to collaborate on NFT and blockchain games
Modern Times Group’s blockchain-focused portfolio company Kongregate has officially announced the acquisition of Gamaga, a mobile game developer based in Chile.
Gamaga's value following the acquisition has been estimated to be between $5 million and $7 million, with the deal's closing likely this month.
The firm will focus on building NFT Strategies
Gamaga has been supporting Kongregate's blockchain gaming projects since 2021, and the new agreement will formalize their strong collaboration in this field. One of Gamaga's most recent games is based on the Netflix series Cobra Kai, and the company's development team has previously worked on games with companies including Sony, Div3rsion, and iEntertainment Network.
Gamaga also holds the source code for the two gaming engines used in games with over 200 million downloads. The Chilean studio specializes mostly in the creation and art direction of 2D and pixel graphics.
Kongregate CEO Markus Lipp said,
"Gamaga is a key partner on our journey to bring players new and innovative gaming experiences built around blockchain and NFT technology. The transaction will enable us to continue executing on our NFT strategy and move faster towards our vision of creating an integrated gaming experience that enables players to become owners in their gaming journey,”
The transaction is expected to be completed in July 2022, after which Gamaga will be integrated into Kongregate. On the other hand, In May, Kongregate collaborated with Immutable X to launch a $40 million blockchain games fund.