Gaming firm Stillfront to buy Croatia's Nanobit for about $100 million

Swedish gaming company Stillfront said on Friday has agreed to buy Croatia-based mobile games developer Nanobit for about $100 million as it looked to broaden its gaming audience.

STOCKHOLM, Sept 18 (Reuters) - Swedish gaming company Stillfront SFRG.ST said on Friday has agreed to buy Croatia-based mobile games developer Nanobit for about $100 million as it looked to broaden its gaming audience.

Stillfront will buy Nanobit in two separate transactions, both consisting of payments that are 70% in cash and 30% in newly issued shares.

"With the acquisition of Nanobit, Stillfront expands our footprint into the narrative lifestyle role playing games (RPG) genre," Stillfront CEO Jorgen Larsson said in a statement.

Stillfront said the deal would yield "attractive earnings" with Nanobit expected to make around 620 million Swedish crowns ($70.68 million) in revenue in 2020 and reach an EBIT margin of 17-22%.

The Swedish company will purchase 78% of Nanobit at the end of this month with the remainder of the deal expected to conclude in 2023, it said.

($1 = 8.7724 Swedish crowns)

(Reporting by Helena Soderpalm and Colm Fulton; editing by Niklas Pollard)

((helena.soderpalm@thomsonreuters.com; +46 8 700 10 15; Reuters Messaging: helena.soderpalm.reuters.com@reuters.net))

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