The acquisition of Jagex, the video game developer behind the popular Runscape franchise, to CVC Capital Partners and Haveli Investments has been confirmed by global investment giant Carlyle today.
Although the deal’s official value has not been disclosed, some media outlets earlier this week made estimates of its potential value at around £900 million ($1.1 billion).
The RuneScape MMO series has made the developer most famous, although its subsequent ventures have not been as successful. Even while Jagex is still a supporter of RuneScape, the game’s community last year criticized it for its contentious “Hero Pass” that included microtransactions that required payment to win.
It is currently well-known for its array of sports, which includes, among many other things, the Women’s Tennis Association, La Liga, and Six Nations Rugby.
Earlier in 2021, the private equity firm based in Washington, DC, paid an estimated $530 million to acquire Jagex.
Although Jagex has over 700 employees and is headquartered in Cambridge, it was founded in 2000 and is best known for its massively multiplayer online role-playing game, Runescape. Jagex’s Runescape is one of the most popular video games of its kind, with over 300 million lifetime accounts established, 2.4 million active subscribers, and more than one million people who play it for free.
Phil Mansell, Chief Executive of Jagex, said: “Jagex has transformed significantly in recent years thanks to the hard work of our entire team as well as the insight and expertise we have leveraged through our partnership with Carlyle. We are delighted to bring CVC and Haveli in as our new strategic partners for the next stage of Jagex’s journey. Through our successful partnership with Carlyle we have already seen the benefits of working with experienced, global financial sponsors. The video gaming sector has huge potential, and with CVC and Haveli’s support, I am confident that we can continue to enhance our platform for the good of both our existing valued gamers and potential new gamers yet to experience our products.”
