KKR to acquire 20% stake in AppLovin in $400mn deal

By Pouyan Broukhim

Palo Alto-based mobile gaming marketing company AppLovin has reportedly agreed to sell a 20% stake in the company to US private equity company KKR in a deal worth $400mn, according to Reuters, citing KKR itself.

The deal will value AppLovin at $2bn, a significant increase on its previous valuation of $1.4bn following Orient Hontai Capital’s investment in the company’s debt in November 2017.

See also:

The Chinese firm had previously attempted to acquire a majority stake in the mobile marketing company, but the US government blocked such a deal on national security grounds.

The investment will provide KKR with a greater footing in the fast-growing mobile advertising and mobile gaming markets, with Herald Chen, the company’s Head of Technology, Media and Telecom, having said “this deal is an opportunity to play both those trends”, according to Reuters.

Currently, AppLovin see’s more than 300mn active users on the platform daily, resulting in more than one billion downloads for gaming companies annually.

Allegedly, AppLovin will look to use some of the funds gained from KKR’s investment to purchase Orient Hontai Capital’s stake in the company.


Featured Articles

People over profit is steering business in a new direction

An unsettling few years has resulted in more and more companies hiring Chief People Officers to implement a culture that prioritises employee wellbeing

Databricks: The phenomenal rise of a data and AI heavyweight

Founded a decade ago, Databricks is on a mission to help data teams solve the world’s toughest problems using tools including its Lakehouse Platform

Business Chief expands portfolio with new look and coverage

Business Chief US & Canada launches with fresh new look and extended coverage of the region, with exclusive executive interviews, opinions and insights

Google at 25: The remarkable rise of a technology colossus

Technology & AI

Mind the Gap – fashion retailer Uniqlo targets US market

Corporate Finance

Meet Manish Sharma, the new CEO of Accenture North America

Leadership & Strategy