Huuuge, Inc. · GPW:HUG
Huuuge — Merger or Acquisition (April 2021)
11 slides from Huuuge's merger presentation, Apr 27, 2021
Slide 1: 27 April 2021
27 April 2021
Slide 2: Traffic Puzzle: A Unique, High-Growth Match-3 Game
Traffic Puzzle A Unique, High-Growth Match-3 Game 64¢ ARPDAU Traffic Puzzle is a unique match-3 puzzle game in one of the largest, most established and lucrative segments of mobile gaming: the $100k $10.6B puzzle game category. Daily Revenue Since publishing the game in March 2019, the game has been the
Slide 3: Our Newest Growth Engine
Our Newest Growth Engine 3
Slide 4: Our Newest Growth Engine
Our Newest Growth Engine Traffic Puzzle is a growth engine within our portfolio, with strong momentum across all major KPIs1 1 Major KPIs: Daily Active Users (DAU), Average Revenue per Paying User (ARPPU), Conversion Rate, & Average Revenue per Daily Active User (ARPDAU) 4
Slide 5: Background & Current Reality
Background & Current Reality Mar 2019 May 2019 May 2020 Jan 2021 Apr 2021 Publishing Traffic Puzzle First Acquisition Acquisition Agreement global launch discussion: process process signed acquisition begins concludes interest Q1 2019 Q2 2019 Q3 2019 Q2 2020 Q4 2020 Q1 2021 Q2 2021 Dec 2020 Mar 2021 A
Slide 6: The Transaction
The Transaction Consideration Payable USD, $M ● $38.9M in cash, payable in three tranches ○ $9.5M at Signing At which point, the assets will be entirely under the ownership of Huuuge ○ $25.0M upon Hand-Over of assets Contingent on sign-off by Huuuge’s Post-Merger Integration team ○ $4.4M one year af
Slide 7: Transaction Rationale
Transaction Rationale ● Traffic Puzzle is the company’s third backbone product, ● By acquiring the asset, we may: having recently delivered a $30M revenue run-rate ○ Save $5M - $8M in 2022 net ● Our conservative projections indicate that the acquisition revenue share, and far more beyond will bring mi
Slide 8: Transaction Rationale
Transaction Rationale ● Financial Diversification Puzzle Market Size Development1 USD, $M Traffic Puzzle is our third back-bone product, and first cornerstone in the casual game category ● Reinforced Growth Traffic Puzzle is Huuuge’s fastest-growing product, with monthly revenue that has more than tripled
Slide 9: Technology: Operational Synergies
TECHNOLOGY SECURITY, IT BUSINESS APPS DATA GAMING TECH & ADMIN 9 Operational Synergies HR FINANCE MARKETING CORP DEV LEGAL
Slide 10: Financial Effects & Expectations
Financial Effects & Expectations 2021 2022 Consideration Consideration Both Tranche 1 ($9.5M) and Tranche 2 ($25.0M) Tranche 3 ($4.4M) of the transaction of the transaction consideration are likely to be consideration is likely to be paid in 2022 from paid in 2021 from the company’s cash reserves th
Slide 11: For questions, contact us at [email protected]
For questions, contact us at [email protected]