iCandy’s deal with Malaysian-based Gameconomy will spearhead its entry into the burgeoning metaverse.  

Games developer iCandy Interactive (ASX:ICI) has announced it will acquire a 60% stake in leading Southeast Asian gaming backend developer Gameconomy Sdn Bhd.

iCandy will pay MYR1.5 million ($497,264) in the cash and share deal for the boutique gaming software firm based in the Malaysian capital Kuala Lumpur.

Gameconomy specialises in gaming technology, related to real-time in-game analytics and player-versus-player (PVP) gaming mechanics.

Gameconomy is led by a team of experienced software engineers with the team continuing to manage Gameconomy following the acquisition.


New metaverse-related PVP game

The deal will spearhead iCandy’s entry into the metaverse, which is attracting the attention of investors and companies globally.

The metaverse is already worth ~US$22 billion and forecast to grow at a staggering CAGR of 41.7% between now and 2030.

Most recently, Facebook changed its name to Meta and has been making a big deal about transitioning from a social media to metaverse company, with founder Mark Zuckerberg detailing his ambitious plan to “build the metaverse”.

Gameconomy and iCandy will work together on an innovative metaverse-related real-time player-versus-player (PvP) game with plans to launch in the first half of 2022.

The game will incorporate various gameplay mechanics that account for character improvements and growth, along with environment attributes and characteristics.

It will also have a highly integrative feature that allows gamers to interchange in-game assets.

Gameconomy has been developing metaverse-related technologies and is working closely with private and public clients to develop smart contracts technologies.

MYEG Services Bhd, Malaysia’s flagship e-Government solutions and services provider, is among Gameconomy’s noteworthy clients.

Other clients include the Malaysian government, Malaysia Airports, Allianz Insurance, QuickSchools, Sunway group of companies and Genting Resorts World.


Adding to value chain

iCandy believes business synergies between the two companies will enhance its venture into metaverse gaming by improving iCandy’s gaming backend tools and capabilities along with adding to its talent base.

Gameconomy’s experienced team of developers will become part of iCandy’s resources, which is expected to contribute significantly to iCandy’s vision of creating AAA games for the metaverse.


Shareholders approve Lemon Sky takeover

The Gameconomy announcement comes a day after ~100% of iCandy’s shareholders approved its MYR 135 million (~$44.5 million) acquisition of Lemon Sky Studios.

With an extensive portfolio of partnerships with the biggest global players in the industry, Lemon Sky has established itself as a leading studio in the Southeast Asia region.

The combined entity will form one of the largest gaming studios in the Australasia region, with more than 450 full-time employees who are highly skilled in game design, development, game art and animation production.

The iCandy share price was up 11.5% today to 0.145 cents.

This article was developed in collaboration with iCandy, a Stockhead advertiser at the time of publishing.  

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.