PlaySide scores Activision deal, Mighty Kingdom flags console title as ASX gaming stocks run hot
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Gaming stocks are hot property today.
Video game developer, PlaySide Studios’ share price spiked by up to 18% following its partnership announcement with US gaming giant, Activision (NASDAQ: ATVI) of Call of Duty fame.
PLY shares jumped as high as $1.40 at the open, before easing back to close at $1.28 for an intraday gain of around 6%.
Under the terms of the material fixed price work-for-hire co-development agreement, PlaySide will provide its production, engineering, and user interface development services to Activision Blizzard for the duration of the 10 month contract.
PlaySide says the short-term partnership is part of a long-term strategy to bolster its credentials as a global premier service provider to the gaming industry.
“The Company is delighted to secure this contract with Activision Blizzard, one of the world’s largest game Developers and Publishers,” said PlaySide CEO Gerry Sakkas. “Their portfolio of titles is a collection of some of the most prominent titles in the industry.”
“PlaySide is very excited to be working with Activision Blizzard showcasing our AAA game development capabilities and this agreement is further recognition of the progress the Company has made on the global stage.”
Mighty Kingdom had also enjoyed a 10.3% boost by lunch after flagging plans to release its first console title.
The hotly anticipated Conan Chop Chop, “the most realistic stick figure game ever made” will finally be released on March 1st for Xbox, Playstation, Nintendo Switch, and PC, while a demo version will be available for PC users for a week from the 21st February as Mighty Kingdom takes part in the Steam Next Fest with live demonstrations with developers.
The game is the result of its 2019 partnership with Funcom Oslo AS, in which it utilised the intellectual property of Conan the Barbarian to develop into an online, multiplayer action-adventure game.
“Mighty Kingdom and Funcom will share all revenue from Conan Chop Chop after cost recoup,” it said in a statement, “with a strong marketing push to come over the coming weeks.”
As of 3.30pm, MKL’s share price was up 10.3% to 16c from 15c at open.
Likewise, the iCandy was still riding high this morning following its announcement yesterday of it $8 million acquisition of game studio Storms. Its share price was up 17.6% at 3.36pm to 16.5c from 14.5c at open.
“We are looking forward to partnering with iCandy Interactive as iCandy develops its Metaverse gaming ambition”, said Ms Lim Cheng Cheng, Singtel’s Group Chief Corporate Officer and Chairman of Storms’ Board.
“This will further our collective strategy to better serve our respective customers with unique and engaging content.”