Snap Inc (NYSE: SNAP) surged a whoping 22.02% to close at $8.59 in the last trading session.
Snapchat’s parent company Snap Inc (NYSE: SNAP) is quietly investing in Australian fruit ninja creator’s latest project-Prettygreat according to the filings to the Australian securities as well as the investments commission.
New Strategy in the Making
Snap Inc. may have lost the backing from the young users and hence fallen out of favor, but now according to the financial documents, there’s a significant hint that the company is trying a new strategy.
According to the filings to the Australian securities as well as investment commission, the company has now invested in the Australian game studio Prettygreat. Reports suggest that Kathryn Carter, the general manager of Snapchat’s Australian operations, has now taken over as director of Prettygreat’s studios.
The documents reveal that Prettygreat founders Philip Larsen and Luke Muscat, who are also credited with making Fruit Ninja, sold all their shares to Snap Inc. The ASIC filing also notes that Snap Inc. might have paid up to $500,000 for the two preference shares as well as $6 for remaining ordinary shares.
Furthermore, another filing shows that Larsen, Muscat, and Hugh Walters have all ceased to be the officeholders of Prettygreat. The trio founded the Prettygreat game studio in 2015.
The Plan has been in Place
There was a report in June last year which suggested that Snap Inc. was to launch a gaming platform that would allow people to play games through the Snapchat app. During that time, the report was that one gaming publisher was in line to make a game for the new platform with no further information were forthcoming.
The deal would be a new direction for Snap Inc. signaling a new strategy even though it won’t be a stranger to the gaming industry. Prettygreat has released to date a few mobile games such as land sliders, slide the shakes and Crash Club.
Up to now, neither company has publicly commented on the CNET’S report while Prettygreat hasn’t replied to the queries from Kotaku Australia. A Snap Inc. representative also declined to make any comment about the reports. Either way, the new Snap Inc. strategy seems to be a good one to get itself back on the map.