Hamburg, July 20, 2011 – Six months after being founded the “Games Agents” now present their first offer for participation for a diversified game portfolio. It is aimed at investors interested in strong and long-term participation in the dynamic growth market of gaming.
Financing games continues to be a challenge for development studios and can easily become a gamble for investors. If a title is in line with current trends then yields can easily be hundreds, and in extreme cases even thousands of per cent. However, if a game doesn”t appeal to users, the revenue won”t even cover production costs.
Investing in the gaming market continues to prove very attractive. According to the German industry association BIU, approx. 1.9 bn Euro was spent on games in 2010 in Germany. Especially the “mobile gaming” sector grew extremely fast, increasing by more than 24%.
So it is no wonder that investment funds also want their share in this market”s profits. The right selection of gaming portfolios and managing them, however, continues to be a great hurdle and eats up yields. The Games Agents have developed their own approach for this challenge. Thanks to their top contacts in the industry and their available expertise, they are able to offer a balanced game portfolio for all possible platforms and gaming styles. This is quite appealing to investors as they can enjoy a portfolio with a well thought-out distribution of risk. To further secure the investments all games must first pass a decisive test: before being added to the investment offering they must first score well in the “Games Agents Score”. This Games Agents developed scoring model is a type of “Gaming MOT” to put games and developer teams thought their paces. In return, this helps to determine which games have the possibility of high-yield.
Joerg Rohrer, one of the founders of Games Agents and an old hand in the German game industry (including founding father of Electronic Arts Germany and guarantor for hundreds of gaming hits), elaborates: “In selecting our portfolio titles we consider the entire range of today”s gaming industry. It includes everything from console and PC games to browser-, social- and mobile games, which are continuing to grow in popularity. Before adding a title to our investment offering, we thoroughly review the concept and developer team. We use our own -Games Agents Score- for this purpose, which features more than 60 different criteria for various categories such as game design, developer team, platform and budget to greatly help us predict the returns and chances of success. Over the years we have gained much experience in producing successful games and we would like to make our expertise available to investors and developers who are looking for good investments. Our investment offering provides the opportunity to produce top titles and place them on the market. I”m therefore looking forward to a successful start”.
Thorough selection, a wide variety of games and target groups, focus on profitability and return: The Games Agents are well aware of their heavy responsibility toward investors. This also reflects in the management. Daniel Schaetzle is the primary investor contact at Games Agents. The graduate in business administration has been with the company since mid-March 2011 and pays special attention to the profitability of the chosen games concepts. He describes his role as: “I”m -yield conscious- with respect to games and activities, so to speak. Aside from rating new concepts and titles I also advise customers and portfolio companies of Games Agents in optimal cost production and controlling.”
The Games Agents participation model also follows this goal. Daniel Schaetzle describes what is special about this offering as: “The model of direct firm participation is far more interesting to investors with respect to start-up costs and management than comparable fund models. We exclusively offer any game titles we found on the market to our holding company for further utilisation and anticipate a cost benefit of up to 30% in administration. The portfolio structure is flexible in following market trends and the excellent Games Agents network ensures access to exclusive and promising titles. I know of no other alternative in this form. Our investment is currently a top investment for those seeking mid-term success with games. Such an interesting portfolio offering with this management line-up will hardly come about again so quickly.”
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