Infogrames has agreed to purchase Shiny for approximately $47 million, in a combination of cash and a promissory note. That represents a substantial increase in the valuation of Shiny over the past seven years -- and even over the past 13 months: Interplay acquired a 91 percent interest in Shiny in 1995 for $3.6 million in cash and stock, and the remaining nine percent was acquired by Interplay in March 2001 for $600,000. Shiny currently has approximately 33 employees.
As a result, Infogrames will have exclusive worldwide rights to develop and publish games based on sequels to the movie "The Matrix", the first of which is currently under development by Shiny. Infogrames also gets Shiny's patent for "Advanced Tessellation Technology". Dave Perry, founder and President of Shiny, signed a long-term employment agreement with Infogrames to remain as President of Shiny.
Commenting on the announcement, Interplay Chief Executive Officer Herve Caen said, "The sale of Shiny will significantly reduce the general corporate overhead of Interplay and allow the Interplay teams to focus on the continuing development of games based on its successful TSR licenses such as Baldur's Gate and Icewind Dale."
Mr. Caen continued, "The transaction will strengthen Interplay's capacity to finance the development of its current slate of titles. We now have the financing and the management team in place to provide a much stronger platform for the development of fun and profitable games."