Atari Acquires RollerCoaster Tycoon 3 Publishing Rights In Multi-Million Dollar Deal
Portfolio Pulse from Franca Quarneti
Atari SA (OTC:PONGF) has acquired the publishing rights for RollerCoaster Tycoon 3 and other titles in the franchise from Frontier Developments PLC (OTC:FRRDF) for $7 million. The deal, aimed at expanding distribution and exploring merchandising opportunities, includes a $4 million upfront payment and a $3 million deferred payment. Frontier Developments, facing financial challenges, plans to use the proceeds for working capital and remains optimistic with plans to release three CMS games over the next three years. Atari's stock is currently down 8%.
April 03, 2024 | 6:55 pm
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Frontier Developments sells RollerCoaster Tycoon 3 publishing rights to Atari SA for $7 million, planning to use the proceeds for working capital.
The sale of RollerCoaster Tycoon 3 publishing rights provides Frontier Developments with a much-needed cash infusion of $7 million, which will be used for general working capital purposes. While this sale helps stabilize Frontier's financial situation, the impact on the stock price is neutral in the short term as the company continues to face challenges but remains optimistic about future releases.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 80
POSITIVE IMPACT
Atari SA acquires RollerCoaster Tycoon 3 and other titles from Frontier Developments for $7 million, aiming to expand distribution and explore merchandising opportunities.
The acquisition of RollerCoaster Tycoon 3 and other titles is a strategic move for Atari to expand its portfolio and explore new revenue streams through distribution and merchandising. Despite the current 8% drop in stock price, this acquisition could bolster Atari's long-term market position and attract investors interested in the gaming sector.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 90