Mobile game developer Huuuge Games advanced an acquisition strategy with a $38.9 million deal to acquire a puzzle title from fellow Polish gaming studio Picadilla Games.

Huuuge Games agreed to purchase Traffic Puzzle in what it described as the first major step in its M&A and growth plans.

The developer stated the move was part of efforts to broaden its reach beyond its mainstay gambling category into the casual games segment.

CEO of Huuuge Games Anton Gauffin explained the takeover was important for its strategic goals as the puzzle category represented an attractive sector.

The company cited figures from research company Eilers & Krejcik Gaming predicting revenue from the segment would increase from $10.6 billion in 2020 to $14.2 billion by 2025.

Huuuge Games was reportedly mulling five takeover moves as it seeks to return to profitability after slipping into the red during 2020.