Kakao Games Acquires Casual Game Company Me2on... First M&A Under New Management System

Acquisition of 39.56% Stake in Me2on, Becoming Largest Shareholder

"Expansion Into IP Content Areas... Synergies in China As Well"

Kakao Games has completed its first merger and acquisition (M&A) under the new management system. The target of the deal is the casual game company Me2on.

Kakao Games CI. Courtesy of Kakao Games

On the morning of September 15, during a board meeting, Kakao Games resolved to acquire a 39.56% stake in Me2on for approximately 98 billion won. As a result, Kakao Games will secure management control and become the largest shareholder of Me2on.

Through this investment, Kakao Games plans to secure new pipelines in social casino, casual games, and mind sports, reorganize its portfolio, and strengthen its global competitiveness. In particular, by acquiring Me2on, which has a solid financial structure, the company aims to secure a stable profit base and pursue a mid- to long-term turnaround.

Me2on, established in 2010, operates global social casino and casual game businesses. Based on its competence in game development and services, Me2on has expanded its business into regions including Asia, North America, and Europe. The company was listed on KOSDAQ in 2016 and last year recorded annual sales of about 12.09 billion won and operating profit of about 1.26 billion won. Overseas sales account for approximately 80% of total sales.

Me2on is expanding its presence in overseas markets such as North America and Europe through its subsidiaries, including Ghost Studio and ACE Interactive Holdings Limited. Furthermore, it is pursuing business diversification across a range of content beyond games, including drama, webtoons, and web novels.

Changuk Son, CEO of Me2on, said, "We are delighted to become a strategic partner with Kakao Games, which has the capabilities and experience in domestic and global services," adding, "Moving forward, we will closely collaborate with Kakao Games to lead the K-content business in the global market."

Siwoo Lee, CEO of Kakao Games, said, "This acquisition represents the first step in executing an M&A strategy with proven business performance and profitability under the new management system. We will continue to pursue M&As for the company’s future." He added, "We aim not only to expand into the diverse intellectual property (IP) content areas owned by Me2on, but also to create synergies in multiple aspects, such as joint development with development studios in China."

This content was produced with the assistance of AI translation services.