The INC Group has signed a letter of intent with Movie Games

The INC Group and Movie Games have signed a letter of intent and intend to jointly support the Romanian gaming market. Both Companies, listed on the Warsaw Stock Exchange, plan to create a gaming platform to consolidate this market. The created company will be an Alternative Investment Company (AIC) and will be a response to the expectations of Romanian investors who are increasingly willing  to invest in entities from the new economy.

The purpose of the letter signed by Movie Games and INC is a broadly understood cooperation in the field of capital market. After completing the negotiations and signing the contract, the Companies intend to jointly establish an ASI company, the purpose of which will be to provide financial and substantive support for local, independent game studios in order to promote the local market and select its leaders. The main advantages of this market are less competition in gaining talented teams and the possibility of cheaper game production. Entering the Romanian market with another entity is a part of the new development strategy of the INC Group, which assumes the development of activities, including in this market.

– As INC Group, we have been present on the Romanian market for a long time. We have successfully carried out two company debuts on the Romanian AeRO market. We are particularly pleased with the investment in Bittnet from the IT sector. Since entering the Romanian stock exchange in 2015, Bittnet has increased its capitalization from RON 7.5 million to approximately RON 100 million, and revenues from RON 8.2 million to RON 99.7 million. We carry out capital investments in Romania through the Carpathia Capital fund, which is part of our group, whose shares are listed in Bucharest and Warsaw. Our Brokerage House announced the notification of its activities in Romania. – comments Paweł Śliwiński, President of the INC Management Board.

The new entity will operate as an Alternative Investment Company in which Movie Games and INC Group will have shares. At the next stage, investors from Romania and Poland will join them. In the future, it does not exclude operations in other countries of Central and Eastern Europe.

– Together with the INC Group, we want to create an ASI-type entity that will allow the studios to obtain financing for development and support their content during project implementation. At the beginning we plan to select a few teams that will have interesting ideas for the game, it can be both a simple simulator and a more developed production. Our ambition is to find and promote a local leader whose productions will achieve international commercial success. In the future, we will also consider developing on other Central and Eastern European markets. – adds Mateusz Wcześniak, President of the Board of Movie Games.

Studios that decide to cooperate with the new entity will be able to count on substantive support of Movie Games. In addition, they will gain professional service in the process of obtaining financing and debut on the local stock exchange (Bucharest Stock Exchange, BvB), which will be provided by the INC Group.

– The Romanian gamedev market is well developed. Many professionals work on it, but they have limited implementation and development capabilities, mainly doing work for large international corporations. This allows local creators  to work in the profession, but at the same time strongly limits their independence. The joint initiative of Movie Games and INC will allow them to “go their own way” and work on their own original games. This will free their creativity and significantly increase their job satisfaction, as a result of which even more interesting and qualitative productions will appear on the market – comments Maciej Miąsik, Vice President of the Board of Movie Games.

Tags: , , ,