- Siyata Mobile (SYTA, Financial) merges with Core Gaming in a $160 million deal.
- Core Gaming shareholders to receive approximately 90% ownership in the combined entity.
- Core Gaming's impressive growth with 2,100 games, 790 million downloads, and 43 million monthly active users.
Siyata Mobile (SYTA) has announced a significant merger with Core Gaming, an AI-driven mobile gaming developer, in a deal valued at $160 million. Following the merger, Core Gaming shareholders will own approximately 90% of the combined entity, while existing shareholders of Siyata Mobile will retain a 10% stake. The merger marks a strategic pivot for Siyata Mobile towards the rapidly growing gaming industry.
Core Gaming boasts an impressive portfolio with 2,100 games, 790 million downloads, and 43 million monthly active users. The company has demonstrated robust financial growth with revenues escalating from $13.2 million in 2021 to an estimated $90.8 million by 2024. This growth is driven by Core Gaming’s complimentary-to-download business model, which generates revenue through advertisements, in-app purchases, and subscriptions.
An exciting aspect of Core Gaming's strategy is its focus on AI technology, as evidenced by its AI COMIC App, which gained nearly 300,000 users shortly after its launch. This technological edge is expected to enhance the company's ability to analyze user behavior and forecast game preferences, leading to increased user engagement and monetization.
Leadership of the newly formed entity, post-merger, will see Core Gaming CEO Aitan Zacharin at the helm, while Marc Seelenfreund from Siyata will lead a new PoC subsidiary. The board will consist of four directors from Core Gaming, ensuring strategic continuity, with Seelenfreund also playing a significant role in guiding the company's future direction.
