PopReach Acquires "PAYDAY Crime War" Game Assets and Enters Licensing Agreement with Starbreeze
PopReach to publish the mobile version of PAYDAY 2, a highly successful co-op first person shooter franchise, which has an installed base of over 28 million
TORONTO, April 14, 2021 /CNW/ - PopReach Corporation ("PopReach" or the "Company") (TSXV: POPR) (OTCQX: POPRF), a free-to-play game publisher focused on acquiring and optimizing proven game franchises, today announced that it has signed an asset purchase agreement and licensing agreement with Starbreeze Studios AB ("Starbreeze") for the re-launch of mobile title PAYDAY Crime War. Under the terms of the asset purchase agreement, Starbreeze will receive a payment of US$250K in exchange for all rights and title to the existing PAYDAY Crime War source code and game assets. Concurrently, the parties have entered into a five year licensing agreement granting PopReach the right to publish PAYDAY Crime War worldwide, and access to assets from the PAYDAY 2 PC game for use in PAYDAY Crime War. PopReach will be responsible for completing development, marketing, live operations and user acquisition for PAYDAY Crime War, which it expects to soft launch in Q4 2021. Starbreeze will receive tiered royalties on net sales equivalent to its PC and console licensing deals, and retains all IP rights to the PAYDAY franchise.
PAYDAY Crime War is a standalone first person shooter game that takes place in the PAYDAY universe. PAYDAY is one of the most successful game franchises in the world with an installed base of over 28 million games. PAYDAY 2, launched in 2013, has become the largest game community on Steam, the top digital distribution platform for PC gaming, and has over 7.1 million members as of March 2021. PAYDAY Crime War is based on a free-to-play business model and will have access to the PAYDAY 2 PC game and game assets that have sold over 105 million additional downloadable content (DLC's).
"PAYDAY is an incredibly popular co-op first person shooter franchise that has showed tremendous staying power and enduring appeal. PAYDAY 2 still consistently ranks among the top played PC games on Steam with over 130,000 daily active users. Obtaining the license rights and source code to PAYDAY Crime War is a massive opportunity that fits well within our strategy of acquiring proven game franchises with established product market fit, with a large built-in audience and deep universe to draw from, including an extensive pipeline of more than 70 PAYDAY 2 content updates years in the making. We believe that PAYDAY Crime War has the potential to generate substantial revenue for PopReach, given the longstanding success of the franchise, and the fact that it will be the first mobile free-to-play PAYDAY game", said Jon Walsh, CEO of PopReach.
PAYDAY Crime War has been in development since 2017, and was soft launched as a closed beta in 2019; however, the shutdown of the mobile gaming division at NBCUniversal left it without a publisher and the launch was postponed. Completion and worldwide launch of PAYDAY Crime War will be led by Vlad Ceraldi, PopReach's SVP of Worldwide Studios. Mr. Ceraldi was previously responsible for the creation and commercialization of highly successful free-to-play action game franchises, including KillShot and Hero Hunters, which have collectively grossed over $150 million in revenue.
"It's an exciting time for all of us at Starbreeze, during the last month we've changed the trajectory for the company by securing deals around the PAYDAY IP. We look forward to working with PopReach to ensure that PAYDAY Crime War brings the same action-packed gameplay our players and community already know and love to mobile devices. PopReach has a proven track record and has successfully developed and launched free-to-play mobile titles based on well-known IPs, and our collaboration will be an important component of our strategy to further expand the PAYDAY franchise", said Tobias Sjögren, CEO of Starbreeze.
About PopReach Corporation
PopReach, a Tier 1 Issuer on the TSX Venture Exchange, with shares also trading on OTCQX® Best Market, is a free-to-play game publisher focused on acquiring and optimizing proven franchises. The Company has to date acquired 13 successful franchises enjoyed by over 1.9 million unique players a month, including Smurfs' Village (IP under license), Peak - Brain Training, Kitchen Scramble, Gardens of Time, City Girl Life, War of Nations and Kingdoms of Camelot. PopReach, headquartered in Toronto, employs a team of over 125 experts in Toronto, Vancouver, London, UK, and Bangalore, India.
About Starbreeze
Starbreeze is an independent developer & creator of PC and console targeting the global market, with studios in Stockholm, Barcelona and Paris. Housing the smash hit IP PAYDAY, Starbreeze develops games based on proprietary and third-party rights, both in-house and in partnership with external game developers. Starbreeze shares are listed on Nasdaq Stockholm under the tickers STAR A and STAR B with the ISIN-codes SE0007158928 (A share) and SE0005992831 (B share). For more information, please visit starbreeze.com
FORWARD-LOOKING INFORMATION
Certain information in this news release constitutes forward-looking statements and forward-looking information under applicable Canadian securities legislation (collectively, "forward-looking information"). Forward-looking information include, but are not limited to, statements with respect to and the business, financials and operations of the Company. Statements containing forward-looking information are not historical facts but instead represent management's expectations, estimates and projections regarding future events. Forward looking information is necessarily based on a number of opinions, assumptions and estimates that, while considered reasonable by the Company as of the date of this news release, are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, level of activity, performance or achievements and future events to be materially different from those expressed or implied by such forward-looking information, including but not limited to the factors described in greater detail in the public documents of the Company available at www.sedar.com. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. Investors are cautioned undue reliance should not be placed on any such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements of the Company. The Company does not intend, and does not assume any obligation, to update this forward-looking information except as otherwise required by applicable law.
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SOURCE PopReach Corporation
Dennis Fong, Investor Relations, (416) 283-9930, [email protected]; PopReach Corporation, Christopher Locke, [email protected]
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