MGM and Warner Bros invest in Kabam
Wednesday, 12th December 2012 at 7:47 am
Social game developer gets partnership following the release of The Hobbit: Kingdoms of Middle-earth
Kabam has received investment from major US film companies MGM and Warner Bros.
The two firms co-own the rights to The Hobbit, and last year signed a deal that gave Kabam the rights to launch The Hobbit: Kingdoms of Middle-earth as part of the run-up to the film.
While terms of the deal were not disclosed, Warner Bros. president Kevin Tsujihara and MGM chairman and CEO Gary Barber will join the Kabam board respectively as member and observer.
"Partnering with Warner Bros. and MGM is a natural fit for Kabam as we create new story lines and extensions of Hollywood studios' intellectual properties for millions of gamers worldwide," said Kabam CEO Kevin Chou.
"Either Kevin Tsujihara or Gary Barber would be a tremendous addition to any growing entertainment company's board. To have both is a boon to Kabam."
Less than a month after launch, Kingdoms of Middle-earth became the ninth top grossing game on Google Play, also hitting the top 25 on the US App Store.
Browser title The Hobbit: Armies of the Third Age will be released early next year.
"We partnered with Kabam almost a year ago to deliver incredible games for The Hobbit trilogy, arguably one of the top intellectual properties in the world," said Tsujihara.
"As we worked with Kabam, it became clear that a closer, more strategic partnership made sense for us both. Kabam is a leader in the industry and we look forward to being a part of their continued growth."
This isn't the first time Kabam has attracted investment from big business. Google and Intel have both previously backed the social game company.
"Effective boards govern and advise their companies," said Chou.
"Kabam has greatly benefitted from the collective wisdom of our current board and we look forward to added insights from Mr. Tsujihara and Mr. Barber, two media company executives at the top of their game."
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