iCandy Attempts To Enter Metaverse Following Its Deal With Gameconomy

iCandy Attempts To Enter Metaverse Following Its Deal With Gameconomy

On 14 January 2021, iCandy Interactive Limited (ASX: ICI) announced that it is acquiring a 60% stake in Gameconomy Sdn Bhd for AU$497,264. iCandy Interactive Limited is in the business of developing and publishing games.  

The Company believes that the acquisition of Gameconomy is an attractive opportunity to improve shareholder value. The business synergies between both parties will increase ICI’s venture into Metaverse gaming by improving ICI’s gaming backend tools and capabilities. Further, the Company would add onto its resources Gameconomy’s skilled team of developers. Through this, the Company would contribute considerably to iCandy’s idea of creating AAA games for the Metaverse.

About Gameconomy:

Gameconomy is a boutique gaming software company that focuses on game technology related to real-time in-game analytics and player-versus-player (PVP) gaming mechanics. Through this agreement, Gameconomy

aims to launch a new Metaverse-related PVP game in the 1H 2022. Also, Gameconomy will significantly boost iCandy software capabilities to create huge Metaverse gaming titles.

Transaction:

Regarding the transaction, iCandy is investing A$124,316 in cash for 30% shareholding in Gameconomy, and the remaining 30% is acquired from its Management for a total consideration of A$248,632 in cash.

The consideration shares shall be given in 12 equal tranches quarterly over a time of three years. The transaction is contingent upon satisfactory due diligence outcomes by iCandy on Gameconomy, which is due to be completed by 14 February 2022.

Global Metaverse Market Outlook:

Metaverse refers to a 3D immersive environment that multiple users share. In this, each participant can interact with the other. In one of the reports, Forbes highlighted that Metaverse is a US$1 trillion dollar revenue opportunity.

Stock Information:

In the last three months, ICI shares have delivered a return of ~55.91%. At AEDT 2:51 PM, 17 January 2021, ICI shares are trading flat at AU$0.145 on ASX.

What Next?

Metaverse is amongst the most discussed topics in the present times. Thus, it would be exciting to see how iCandy improves gaming experience using metaverse post the acquisition of the stake in Gameconomy.

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