Online games portal Gameplay.com Plc is to buy quiz site operator Internet Digital Media Ltd, for up to 8.5m pounds ($13.8m) in cash and shares, following the November 5 announcement that the AIM-listed firm was negotiating to acquire a number of companies. IDM developed and runs the doUno? online trivia sites, where users can win prizes answering questions using a Flash-based animated interface.
IDM has relationships with virtual internet service providers and portals like Freeserve Plc, AOL UKÆs NetscapeOnline, and British Telecommunications PlcÆs LineOne.net, for co-branded doUno? games. The company says it also has a viral marketing network, where any site can download and customize the product as shareware, and ad revenues are shared. As well as banner ads, advertisements are presented in the game window, during commercial breaks in the game which increases clickthrough according to business development manager Mark Kingsley-Williams.
Gameplay will pay 1.66m pounds ($2.7m) in cash and the rest in shares, with an additional 1.7m pounds ($2.7m) to be paid if certain performance targets are met.
