Nordisk Film Games has invested SEK 100 million (10.5 million euro) into Avalanche Studios, Swedish game developer. Surprisingly, but the deal went very quick: the talks between Avalanche Studios and Nordisk Film Games has started this fall.
“It has been an extremely productive dialogue. Nordisk Film Games suits us very well. They are long-term and understand our creative world. Now we can accelerate our plan of developing self-published games such as our hunting games,” says Avalanche Studios CEO Pim Holfve.
As Martin Walfisz, senior partner at Nordisk Film Games states:
“This is a long-term investment. We do not expect to get back our money in a short period of time.”
Avalache Studios – Who Are They?
Avalanche Studios, which was founded in 2003 by Christofer Sundberg and Linus Blomberg develops computer games for PC and game consoles Playstation and Xbox. Since that time, they have developed several popular action and hunting games: “Just Cause”, “Mad Max”, and “The Hunter”. The latter one attracted 7 million registered players. As for the fiscal year 2015/2016 the company had a turnover of SEK 247 million (25.9 million euro) and showed an operating profit (EBIT) of SEK 4.6 million (0.5 million euro). The company has two major offices in Stockholm and New York and employs 270 employees.
Interesting to note, that Avalanche Studios is one of a few major Swedish game developers who have not yet appeared on the stock market. Neither Pim Holfve nor Martin Walfisz categorically say no to such a development in the future, but at the moment they do not see any serious reason to go public.
When it comes to future plans, Avalanche Studios has their own vision. Unlike most major companies in the gaming industry, Avalanche Studios is not planning to get into mobile game industry in the near future. While in the long run, the company is thinking that the Asian market can be their way to go further.
As Martin Walfisz states:
“Asia is something all game developers are watching. As for Avalanche Studios, we are planning to concentrate on the existing markets in that part of the world. However, how we will be doing it – this is something to decide later.”