Tag Archives: Corporate Action

Epic Games buys Tonic Games ‘Fall Guys’ maker | Instant News


“Fortnite” maker Epic Games said Tuesday it is acquiring Tonic Games Group, maker of the hit videogame “Fall Guys,” putting two of the most popular videogame titles under one roof.

Prices were not disclosed. In a statement, Epic told “Fall Guys” fans that “your gameplay hasn’t changed and Epic will continue to invest in making the game a great experience for players across platforms”.

“Fall Guys” was released last summer and was an immediate hit, driven in part by people trapped indoors because of coronavirus restrictions. The game is similar to the “Fortnite” battle royales, where the game starts with dozens of players and ends with one winner.

“It’s our big win for ‘Fall Guys,'” said Tonic in a blog post. “Joining Epic will accelerate our plans to improve the game and bring ‘Fall Guys’ to as many players as possible, while continuing to support the community.”

According to Epic, “Fall Guys” will still be playable on PC and Sony
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PlayStation console, and soon expanded to Microsoft
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Xbox and Nintendo
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Change console, and it can still be downloaded on Steam. The game will still cost $ 19.99 and there are no plans to launch a free-to-play version, Tonic said.

This step is done in the middle of a wave from consolidation in the videogame industry, because gaming companies are looking for a wider audience. “It’s no secret that Epic is investing in building the metaverse and the Tonic Games share this goal,” Epic founder and Chief Executive Tim Sweeney said in a statement. “As Epic works to build this virtual future, we need great creative talent who knows how to create great games, content and experiences.”

Privately owned Epic is one of the largest video game companies in the world, thanks to the immense popularity of “Fortnite”. Currently suing Apple Inc.
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and the Alphabet
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Google for antitrust, claims the tech giant is illegally controlling apps and in-app purchases.

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Google strikes to deal with major Australian news organizations over payment | Instant News


CANBERRA, Australia – Seven West Media has become Australia’s largest news media business to strike a deal with Google to pay for journalism in a partnership announced Monday before the country’s Parliament considers a bill that forces digital giants to pay for news.

Google and public broadcast television, print and online publishing companies jointly announced that they had agreed a “long-term partnership” after weekend discussions by Australian government ministers with media executive Facebook.
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CEO Mark Zuckerberg and Sundar Pichai, chief executive of Alphabet Inc.
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and its subsidiary Google.

Kerry Stokes, chairman of Seven West Media, which has 21 publications, thanked the Australian government and competition regulators for their proposals.

“Their exceptional leadership in implementing the proposed news media bargaining code has allowed us to conclude negotiations that yield fair payouts and ensure our digital future,” Stokes said in a statement.

“The negotiations with Google recognize the value of quality and genuine journalism across the country and, in particular, in the region,” added Stokes.

The deal was reached under Google’s own model, the News Showcase. Google has reached payment agreements with more than 450 publications globally since the News Showcase launched in October.

Google announced two weeks ago that it had started paying for seven much smaller Australian websites under the News Showcase.

Google regional director Mel Silva said: “We are proud to support genuine, trusted and quality journalism and are delighted to welcome Seven West Media today as Australia’s premier publishing partner to join the Google News Showcase.”

The partnership is a big investment for Google in journalism not only in metro areas but also in smaller communities, he added.

Neither Google nor Seven West Media said how much the deal was worth. Rival media company Nine Entertainment reported, citing unnamed industry sources, that it was worth more than 30 million Australian dollars ($ 23 million) a year.

Prior to the announcement, Treasurer Josh Frydenberg said Google and Facebook were close to reaching a commercial agreement, “which could be of great benefit to the domestic media landscape and see journalists being rewarded financially for producing original content, as it should be.”

Google and Facebook did not immediately respond to requests for comment about Frydenberg’s discussions with their leaders.

Google has stepped up its campaign against the proposed law, telling the Senate committee researching it that the platform will likely make search engines unavailable in Australia if the code is introduced.

Facebook threatened to block Australians from sharing news if the platform was forced to pay for news.

Although the digital giants can bear the potential costs of paying for the Australian news they link to, they are concerned about the international precedent Australia could set.

Google has faced pressure from authorities elsewhere to pay for news. Last month, they signed a deal with a group of French publishers, paving the way for companies to make digital copyright payments. Under the agreement, Google will negotiate individual licensing deals with newspapers, with payments based on factors such as the amount of internet site traffic published daily and monthly.

In Australia, the platform is able to enter into payment agreements with media businesses before the code is promulgated.

The law will create an arbitration panel to make binding decisions on payments if the news platform and business cannot agree on a price for news.

Panels will usually receive the best deals from platforms or publishers, and rarely set prices in between.

This should prevent news platforms and businesses from making unrealistic requests.

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DoorDash buys Chowbotics, a maker of food preparation robots | Instant News


DoorDash Inc. has purchased Chowbotics, a maker of food-preparation robots, as part of its efforts to help merchants grow their businesses, the delivery app company announced Monday.

Hayward, California-based Robot Chowbotics makes customizable salads, grain and stir bowls, parfaits, cereals, and snacks and can be found at grocery stores, hospitals and other locations. DoorDash thought that the machine could be used to automate some food preparation in restaurants.

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did not disclose how much was paid for the company, which said on its LinkedIn profile that it had deployed more than 100 of its robots. The deal was finalized late last year, said a DoorDash spokesman.

“Bringing Chowbotics technology to the DoorDash platform provides us with new opportunities to help merchants expand their current menu offerings and reach new customers in new markets,” said DoorDash co-founder Stanley Tang in a statement.

As the coronavirus pandemic has pushed the delivery of food and other goods to record levels, DoorDash is the top food delivery app in the US, with a 50% market share, according to Edison Trends.

See: The pandemic has doubled the food delivery app business

The venture-backed Chowbotic raised $ 20.8 million, according to Crunchbase, and was valued by PrivCo for $ 50 million to $ 100 million in 2018.

Rick Wilmer, Chowbotics chief executive, said in a statement that the deal would allow his 7-year-old company to take advantage of DoorDash’s lead in US food delivery.

“DoorDash has unmatched reach and expertise to help us develop and apply our technology more broadly, so together, we can make fresh, nutritious food easy for more people, says Wilmer.

DoorDash shares closed at $ 177.43, a 2.1% decline, on Monday. The company’s shares are up more than 24% so far this year.

The company’s acquisition of Chowbotics is not the first step in automation. In 2019, it bought Scotty Labs, which works on technology to remotely operate vehicles. The fair value of the purchase is $ 5 million, according to DoorDash’s filings with the Securities and Exchange Commission.

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Musk’s Tesla said it has invested $1.5 billion in Bitcoin, bringing the cryptocurrency to a record high of nearly $44,000 | Instant News


Elon Musk’s Tesla Inc. stated that it had acquired $1.5 billion in Bitcoin in January and that it could accept payments in the world’s number one digital asset in the future.

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The purchase was revealed on Monday in the Securities and Exchange Commission (Securities and Exchange Commission) regulatory documents, which helped push up the price of Bitcoin
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To around $44,203, it was up more than 13% in CoinDesk’s early trading.

Tesla stated in its 10-K application to the U.S. market regulator: “In January 2021, we updated our investment policy to provide us with greater flexibility to further diversify and maximize our Cash return, which is not needed to maintain sufficient operational liquidity.”

The document continues: “Furthermore, we hope that in the near future, in accordance with applicable laws and on a limited basis, we will begin to accept Bitcoin as a payment method for our products. After payment is received, we may or may not Liquidation.”

This move is because Musk has recently won greater support for digital assets on his social platform.

Late January Musk Mark Using the cryptocurrency in his Twitter biography, then adding the hashtag #bitcoin to his Twitter resume, and then he wrote on Twitter: “In retrospect, it was inevitable.” At the beginning of this month Musk posted “doge” on Twitter with no further comments, Refers to the digital asset meme asset Dogecoin.

Tesla became one of the larger companies that invested in Bitcoin and allowed payments through digital assets created in 2009.

Wedbush analyst Dan Ives wrote in Monday’s study: “Although many people on Wall Street are discussing the prospects of Tesla’s move, this morning’s news made Musk and Tesla The strategy of jumping into the abyss of Bitcoin and cryptocurrency is formalized.” Attention.

However, other mainstream companies have begun to make headlines, focusing on their interest in Bitcoin and making virtual assets part of their balance sheets.

As early as 2020, the software company MicroStrategy
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Said that it invested in Bitcoin in September 2020, thus achieving a leap of faith. According to the announcement on August 11, the token received 21,454 bitcoins, worth 250 million U.S. dollars at the time, and became the entity’s reserve assets. Coin Telegraph Report.

Microstrategy’s move raises the question of whether other companies might consider investing some of their reserve assets in Bitcoin.

Ives wrote: “Ultimately, investors and other industry observers will pay close attention to this to understand whether other companies have followed Tesla’s leadership approach to cryptocurrency, or on the other hand, it is still Are the few names that make Bitcoin strategically leap forward?”.

Bitcoin’s record rise is mainly due to the interest of institutional investors and businesses.PayPal Holdings Limited
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After a narrower deployment, its cryptocurrency platform was opened to all US customers last November.

Investment experts said that as the Dow Jones Industrial Average has risen, the rise in the price of Bitcoin is also drawing attention to the asset.
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And the S&P 500 Index
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Let market participants worry about the overvaluation of stocks when interest rates are around 0%.

So far, the price of Bitcoin has soared by 50% in 2021.At the same time, the S&P 500 has risen 3.5% so far, the Dow Jones Industrial Average has risen 1.8% so far, and the high-tech Nasdaq Composite Index
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It is up 7.5% so far this year.Gold price
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It has fallen 3.5% so far this year.

Several prominent Wall Street investors including Stanley Druckenmiller and Paul Tudor Jones have accepted Bitcoin. Bill Miller, the famous investor of the founder of Miller Value Partners Letter to customers An article published on the company’s website earlier this month reiterated his optimistic view of Bitcoin.

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DoorDash’s Appeal Beyond Food | Instant News


Food delivery platform

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it is now trading almost 90% on it initial public offering price such as a vaccine that is widely distributed in the US and restaurants in some of its largest markets are poised to reopen outdoor dining. So why isn’t this stock too short?

The answer may be more about comfort than taste. Apart from restaurant deliveries, DoorDash has built its market share in third-party shipments for other goods, such as items from 7-Eleven, Wawa, Circle K and CVS. Post-pandemic, those additional opportunities could prove more important to DoorDash’s growth thesis than bearish investors appreciated.

Much of DoorDash’s appeal ahead of its December IPO is how quickly it can go from 0 to 60 in food delivery. The company said it had only a 17% share of the US market in terms of total sales in January 2018 but that share had grown to 50% in October – nearly double that of its next biggest competitor, Uber Eats. Now it turns out that in newer markets such as practical freight forwarding, DoorDash has grown even faster.

A report from Edison Trends Thursday shows DoorDash now owns 58% of US convenience store spending via third-party delivery apps, more than double that of its next biggest competitor, goPuff. Last January, Edison Trends had DoorDash’s share of around 5% and goPuff’s 70%. For all of Uber’s talk of leaning heavily on additional delivery services, Uber Eats’ market share in third-party convenience goods is now just 8%, according to the report.

For DoorDash, the supermarket may be more than just the icing on the cake. According to Edison Trends’ analysis, overall online consumer shopping at convenience stores grew by nearly 350% in 2020, almost three times faster than online restaurant consumer sales. DoorDash customers increased their convenience store spend by 162% sequentially from the third to fourth quarters, according to EdisonTrends data – a good sign for DoorDash’s first earnings report as a public company to come later next month.

Opportunities beyond traditional food delivery appear to be a big part of what differentiates analysts who have remained positive at DoorDash from those who feel they are overvalued. In his initiation report, Truist analyst Youssef Squali pegged the potential addressable markets in groceries and convenience, including e-commerce and bricks and mortars, about $ 50 billion for the industry as a whole, with an additional $ 22 billion coming from specialty food stores and $ 60 billion came from beer, wine and liquor stores. With regards to a highly concentrated wholesale market, he notes that more fragmented areas such as fast delivery could be more profitable. Meanwhile, Angelo Zino from CFRA Research initiated coverage on DoorDash with a sale rating, not to mention the convenience opportunity.

Cautious investors worry that demand for food deliveries will ease as the pandemic eases, but that doesn’t mean demand in other areas will shrink. Analyst forecasts compiled by Visible Alpha show DoorDash’s average order value decreased 23% from 2020 to 2025, but monthly orders per active customer grew by nearly 30% during that period. More options should continue to bring more customers to the DoorDash platform, that is very strong in the suburban market practical shopping is not necessarily walkable Analysts estimate DoorDash’s monthly active customers will grow by 21% this year alone.

SHARE YOUR MIND

Have you used DoorDash to order groceries during the pandemic? Join the conversation below.

In its DoorDash initiation report,

JP Morgan‘s

Doug Anmuth called food delivery a “forever changing category,” noting that while growth may slow, activity will still pick up, given the value of convenience and consumer choice. He cites new verticals, such as convenience, grocery stores and pharmacies, as key growth drivers.

When it comes to restaurant outings, visiting a corner shop is always more of a chore than a gift. It’s possible that even though visitors are racing to return to eat after the pandemic, they will continue to order everyday items.

To DoorDash, that is indeed a comfortable narrative.

Ghost kitchens have sprung up across the US as food deliveries spike and restaurant dining slumps amid the pandemic. This business, which can organize food preparation for several restaurants in one location, is attracting interest from investors and restaurant owners. Photo: Adam Falk / The Wall Street Journal

Write to Laura Forman on [email protected]

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