Bigpoint, a German online games site, has sold to NBCU’s Peacock Equity Fund and UK PE Firm GMT Communications Partners for Euro 70 million (about $110 million), according to FT…both the firms will hold 35 percent each. CEO Heiko Hubertz will reinvest his share of the sale to retain 30 percent of the company. The deal is being done to allow the company’s VC backers to cash out. The six-year old company offers free browser-based multi-person games, making money through premium in-game add-ons, and the plan now is to add an in-game advertising component to Bigpoint’s business model.
Bigpoint, which turned cash-flow positive six months ago, is making annual revenues of Euro 20 million and 23 million registered users…the company says Peacock will help the company expand into U.S., though the online gaming portal space is crowded here. The company’s rather eventful history is here, including name change, reorg, and recap over the years.
This is definitely on the large side of the year-old $250 million Peacock fund, which has previously invested in IGA Worldwide, a developer of in-game ads. The fund recently got its first exit in the sale of online ad network software firm Adify, which was sold to Cox for $300 million.