Fusion Corporate Partners

Kabam, a leading developer of real games for social networks best known for creating the breakout social game, Kingdoms of Camelot, has acquired high-end social game developer, WonderHill. The San Francisco-based WonderHill developed the strategy social game Dragons of Atlantis and other quality games including the popular Facebook game Tattoo City and the MySpace title GreenSpot. Under the arrangement, WonderHill will officially become Kabam’s San Francisco studio, adding experienced development talent, IP, and over 2 million monthly active players to Kabam’s rapidly growing portfolio.

“Due to the traction of our strategy game, Dragons of Atlantis, we’ve been called on by a large number of potential acquirers”.

“WonderHill’s talent, analytics technology, and culture of quality game development fits extremely well with our existing approach and portfolio,” said Kabam CEO Kevin Chou. “WonderHill’s new direction in Flash-based strategy games with Dragons of Atlantis makes them a perfect complement to Kabam as we aggressively grow our business in deeply engaging social games. With our recent infusion of seasoned executive leadership, we have a solid foundation in place to integrate outstanding development talent like WonderHill.”

WonderHill founders James Currier and Stan Chudnovsky will stay on as advisors while the development team of approximately 25 will transition into Kabam employees. The new Kabam San Francisco will complement Kabam’s Redwood City headquarters by continuing to build titles like Dragons of Atlantis while also creating new, yet to be announced projects that will aid in further building out Kabam’s diverse portfolio of real social games.

“Due to the traction of our strategy game, Dragons of Atlantis, we’ve been called on by a large number of potential acquirers,” said WonderHill CEO James Currier. “Kabam’s strategy to focus on deep strategy games is the same as ours, so rather than competing, combining with them gives us both a better shot to build the dominant company in the space. They’ve got the right culture, the right focus, and enormous momentum. We’re proud to be associated with these guys. Watch this space.”

With the acquisition, Kabam continues its explosive growth. The company has expanded from 20 employees in one office at the beginning of 2010 to over 200 staff in four offices on three continents today. The company recently announced it added executives from Blizzard, PlayFirst, and PayPal to its management team, continuing the trend of growing its talent pool as it aggressively expands for its next operational phase—evolving and increasing its leadership in making rich and engaging social games. WonderHill is Kabam’s first acquisition, and terms of the deal were not disclosed.

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