The Independent Game Developers Association (TIGA) – a trade association representing the UK video games industry – has today released a new report which collates the experiences of several games companies during company acquisitions.
According to TIGA, one of the keys to a successful acquisition is ensuring you have the right people at the right time., as “it is essential that the people in the two companies can work together. The money and the intricacies of the deal are secondary considerations”.
The report also emphasised aligned interests, stating it’s “crucial that the people in the acquiring and acquired companies have aligned goals and have a joint vision for the acquisition”, and that acquisitions are an opportunity to learn from the “strengths of others, acquire new ideas and facilitate new business opportunities”.
Another key component is “be prepared to walk away” – “always be ready to avoid an acquisition if the negotiations reveal serious difficulties or insurmountable challenges”.
“Successful acquisitions can enable companies to grow more quickly, secure valuable IP, access highly skilled teams and technology and find new routes to market,” said Dr Richard Wilson OBE, TIGA CEO. “However, unsuccessful acquisitions can be expensive and produce disappointing results. TIGA’s new Acquisitions report provides games businesses with practical advice from companies with real experience of acquiring and being acquired.”
“The most important factor behind a successful acquisition is whether you can work with the people involved,” added Jason Kingsley OBE, CEO and creative director at Rebellion. “You need to be able to get on with them as people. They need to fit in and mesh with the existing company. The money, the deal is of secondary importance. The vital consideration is whether you can work with the people involved.”
TIGA members can request a copy of Acquisition by contacting Suzi Stephenson at firstname.lastname@example.org.
TIGA also recently revealed its 5 Principles for Safeguarding Players. The organiser says it devised the principles for “games businesses to follow when operating games in the UK, in order to safeguard players from potential harms” and says they have been designed “to be proportionate, reflecting the fact that a large multimillion pound games business operating a widely used online game will be able to do much more than a small business operating a niche game”.
TIGA’s 5 Principles for Safeguarding Players are themed around protecting children, treating consumers fairly, safeguarding online communities, respecting personal data, and spending and time management.