Atari has completed the acquisition of Hipster Whale, the studio behind the popular game Crossy Road

Image credit: Hipster Whale

Atari has announced the acquisition of the developer Hipster Whale, known for creating Crossy Road. The acquisition deal is valued at over $29 million, with the possibility of reaching nearly $40 million.

The purchase involves an initial transaction of $29.3 million, which includes $26 million in cash and $3.3 million in newly issued Atari ordinary shares. Additionally, up to $10 million may be paid over the next three years, contingent upon Hipster Whale's performance.

This strategic acquisition aims to bolster Atari's mobile game development and publishing capabilities, leveraging the expertise of Australian-based Hipster Whale. Matt Hall, a co-founder of Hipster Whale, is anticipated to spearhead the enhancement of Atari's mobile endeavors.

Wade Rosen, CEO of Atari, stated, "Atari and Hipster Whale have a common passion for classic retro-style gaming. Our collaboration utilizes Hipster Whale's mobile gaming prowess and Atari's strength in premium gaming to significantly grow our mobile segment."

Hall expressed enthusiasm about the partnership, emphasizing, "Our mission has always been to infuse the arcade spirit into mobile gaming. Aligning with Atari boosts what we excel at – unique mobile development, complemented by Atari's renowned IPs and broad media reach." He noted Crossy Road has been a global hit, with over 340 million downloads over ten years.

Recently, Atari's stakeholders strongly favored the company's shift from France to Luxembourg, with 95.25% approving the move. Founded in the US in 1972, Atari transitioned to French publisher Infogrames in 2000 following its acquisition by Hasbro Interactive, eventually rebranding to Atari SA.

This acquisition is part of a series of strategic purchases by Atari. In April, they took over the emulation firm Implicit Conversions, although terms were not disclosed. The company also recently secured the rights to the first five Wizardry RPGs and acquired Digital Eclipse for $20 million this year.