(MENAFN) US toymaker Hasbro Inc has acquired a majority stake in Backflip, a smartphone-games developer, for USD112 million in cash, AP reported.
Toy makers want to adapt and reinvent old brands as the industry faces a slowdown in developed markets such as the US and Europe, where mobile devices and electronics are stealing attention away from traditional toys.
Hasbro CEO Brian Goldner believes that buying Backflip fits into company's strategy of extending brands into different formats.
Hasbro, the company behind Monopoly, My Little Pony, G.I. Joe and other toy brands, expects the deal to be neutral to, or slightly boost, its 2013 financial results.
Backflip will continue with its own product development and create mobile games featuring Hasbro brands. Backflip's management team will still run the company.
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