OSLO (Reuters) – China’s Tencent Holdings launched a 1.33 billion Norwegian crown ($148 million) bid for computer games maker Funcom on Wednesday, sending the Oslo-listed firm’s shares sharply higher.
The board and management of Funcom unanimously supported the all-cash bid of 17 crowns per share, a 27% premium to Tuesday’s closing price of 13.35 crowns, the companies said in a joint statement.
Funcom’s shares were up 26.2% at 16.85 crowns by 0817 GMT.
Based in the Netherlands, Funcom is the developer of a range of computer games that are played online or on other platforms, including adaptations of the Conan the Barbarian franchise.
Tencent, itself a major distributor of online games, announced last September it had taken a 29% stake in Funcom, making it the largest owner.
“Funcom has a strong track record in developing new titles with long lifespans,” said Tencent Senior Vice-President Steven Ma.
Funcom’s management and staff will remain unchanged following the planned acquisition, the companies said.
(Reporting by Terje Solsvik; editing by Gwladys Fouche and Jason Neely)