Opera Software acquired Bemobi, a subscription-based mobile apps and games service in Latin America.
Bemobi’s platform enables customers to access premium mobile games and apps using a subscription model, rather than paying for apps individually. It works with distribution partners which are said to include “leading mobile operators and handset OEMs in Brazil”.
Bemobi’s relationships with operators means it can also make use of operator billing, which is said to be important in markets where credit card billing is not widely used.
“This acquisition will bring an added dimension to our app discovery services, with a new model that has been proven to work well in our core markets,” said Lars Boilesen, CEO of Opera Software.
Opera says that it is already a “leader in global app discovery services, helping more than 290 million mobile phone users across the globe download 300 million apps and games every month through our Opera Mobile Store”.
The Bemobi deal also enables it to increase its presence in Latin America, providing developers with a channel to access and monetise six million active subscribers.
The deal includes $29.5 million up-front, up to $81 million in performance payouts tied to 2015-2019 revenue and adjusted EBITDA performance, and an additional $29 million tied to overachievement of adjusted EBITDA goals.
The earn-out is dependent upon “aggressive performance targets” which will be paid-out from free cash-flow generated from Bemobi products and services, meaning it will be “self-funding after closing” (excluding the initial payment).
Separately, Opera said that it is reviewing its strategic alternatives, having been approached by a “number of partners”.