Activision powers up with Shaba Games buyout

Game-maker Activision Inc. Tuesday announced that it has acquired software developer Shaba Games LLC, the company that has helped it develop a number of hit games, in an all-stock deal.

Based on Activision's share price at the close of trading Monday, the deal is valued at US$7.7 million.

The acquisition is aimed at bolstering Activision's ability to develop games for next generation console gaming systems, Activision said in a statement.

Activision, located in Santa Monica, California, makes video games for a host of console systems including Nintendo Co. Ltd.'s GameCube and GameBoy Advance, Microsoft Corp.'s Xbox, Sony Computer Entertainment Inc.'s PlayStation and PlayStation 2 and PCs. Among the company's marquee titles are the "Tony Hawk Pro Skater" and "Spider-Man" series, as well as "Return to Castle Wolfenstein."

Shaba Games worked with Activision on "Tony Hawk Pro Skater 3" and "Matt Hoffman's Pro BMX." The company was founded in 1997 and has 29 full-time employees at its Sausalito, California, headquarters.

Under the terms of the deal, Shaba's equity holders will receive 258,621 shares of Activision common stock, Activision said in a statement. Those shares were each worth $29.75 at the close of trading Monday. An additional 68,965 shares could be granted to Shaba stakeholders if certain performance requirements are met in coming years, Activision said.

Shaba will become a wholly owned subsidiary of Activision, with key management and development personnel signing long-term contracts with Activision, Activision said. Activision does not expect the deal to affect its financial forecast for fiscal years 2002 or 2003.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Sam Costello

PC World
Show Comments

Cool Tech

Breitling Superocean Heritage Chronographe 44

Learn more >

SanDisk MicroSDXC™ for Nintendo® Switch™

Learn more >

Toys for Boys

Family Friendly

Panasonic 4K UHD Blu-Ray Player and Full HD Recorder with Netflix - UBT1GL-K

Learn more >

Stocking Stuffer

Razer DeathAdder Expert Ergonomic Gaming Mouse

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest Articles


PCW Evaluation Team

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Kurt Hegetschweiler

Brother PocketJet PJ-773 A4 Portable Thermal Printer

It’s perfect for mobile workers. Just take it out — it’s small enough to sit anywhere — turn it on, load a sheet of paper, and start printing.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?