Hurray! Holdings announces USD 4.1 million acquisition deal

Chinese wireless service and entertainment provider Hurray! Holdings has announced the signing of a definitive agreement to acquire Java games publisher and developer Magma Digital Technology.

Subject to customary closing conditions and required regulatory approval, the acquisition is expected to complete before January 31st. Hurray! will make an initial payment of USD 4.1 million in cash for 100 per cent equity interest in Magma. The total consideration is subject to undisclosed adjustments based on Magma's financial performance in the period following the closing of the acquisition.

Established in 2001, Magma Digital Technology has successfully developed over 200 mobile entertainment titles, establishing popular branded games such as its YY Cat and PP Pig series, in addition to numerous top selling games. Leveraging strategic partnerships with a growing number of worldwide distributors and publishers, Magma continuously strived to reach international markets for its product portfolio.

Hurray! chairman and CEO QD Wang stated: "We are very pleased to announce this acquisition of Magma, a top wireless Java game developer and publisher in China. We anticipate that the acquisition will significantly strengthen our mobile game development capabilities."

"We believe that the combination of Magma's experienced product development team, our proven wireless distribution channels and broad customer base will put Hurray! in a strong position to capture opportunities in the fast-growing mobile games market in China," Wang concluded.

Established in 1999 as an independent company, Hurray! Holdings provides WAP-based services through 2G and 2.5G networks in China, including ring-tones, picture downloads, community and entertainment services and digital music. Recently ranked number 122 in the 2005 Deloitte Technology Fast 500 Asia Pacific program, Hurray! has shown revenue growth of 408 per cent over the past three years.