Leading Children’s App Developer Cupcake Digital acquires zuuka Inc. and its iStoryTime App Library
Frankfurt am Main, Germany, March 2014. Cupcake Digital, Inc., a leading developer of award-winning children’s enhanced storybook, interactive play and gaming apps, has acquired zuuka Inc., developers of the popular iStoryTime Library. This strategic acquisition effectively positions Cupcake Digital as one of the largest independent children’s app developers, with a combined app library of over 250 titles and a download base of over 8.5 million.
“The synergies that are created by bringing Cupcake and zuuka together are ideal. Both companies have been focused on creating top-ranked, innovative apps featuring well-known entertainment characters that kids and parents love. The acquisition expands our entertainment license portfolio and will leverage Cupcake’s proprietary technology platform, enabling us to launch new interactive apps and storybooks that give children, parents and caregivers even more choices from a brand they trust.” – said Cupcake Digital Chairman & CEO Brad Powers.
“I loved the idea of combining zuuka and Cupcake Digital from the start. Both companies share the same spirit and vision and surely make a perfect fit. As a shareholder of this newly combined entity, VCDE foresees a major impact on the market and looks forward to welcoming many more consumers to a great world of kids’ apps.”– Investment Manager Lukas Bennemann from VCDE Venture Partners / venturecapital.de commented.
VCDE Venture Partners’ fund vehicle venturecapital.de was started in 2008 in Frankfurt / Germany and is a leading growth equity investment firm with a clear focus on technology companies in the field of software, the internet, mobile telecommunications and IT business services. It is funded by over 150 tech-entrepreneurs and business angels.
Zuuka Founders Graham Farrar and Woody Sears will hold senior management positions at Cupcake Digital, adding a combined 12 years of app building experience to the company.
Corporate Finance Partners – now ACXIT Capital Partners – acted as the exclusive financial adviser to zuuka Inc. and its Shareholders.
About Cupcake Digital
Founded in 2012, Cupcake Digital, Inc. gives kids the opportunity to interact with the characters they love by transforming children’s entertainment properties into award-winning apps. The Company’s apps are consistently top-ranked on the Apple App Store, Amazon Appstore for Android, Google Play and the Barnes & Noble NOOK Store. Cupcake’s licensed IP portfolio includes Wow! Wow! Wubbzy!, Jim Henson’s Fraggle Rock, Strawberry Shortcake, VeggieTales, Yo Gabba Gabba!, Animal Planet, The Smurfs, Sid the Science Kid, Barney, Mike the Knight, Cloudy with a Chance of Meatballs, Puss n In Boots, How To Train Your Dragon, Madagascar, Shrek, and Kung Fu Panda. (www.cupcakedigital.com)
Zuuka is the digital publisher of iTalk entertainment apps and iStoryTime – an interactive storytelling experience delivered to the convenience of users mobile device – which features a series of illustrated and narrated books created by parents for kids. iStoryTime books have been highlighted in the New York Times, LA Times, CBS Early Show, theiPhoneMom.com, Cnet and is decorated with PTPA Media’s Parent Tested Parent Approved Seal of Approval and the Children’s Technology Review’s Editor’s Choice Award. With over 130 titles to choose from iStoryTime books are excellent tools for both educating and entertaining children ages two years and up. These storybooks can be enjoyed in several different modes ranging from automatic to manual, depending upon the development and preferences of the user. (www.iStoryTime.com)
About ACXIT Capital Partners
ACXIT Capital Partners is a leading international corporate finance and investment advisory firm for mid-market clients and entrepreneurs in Europe and beyond. Since 1998, we offer our clients comprehensive corporate finance advisory services including M&A and capital markets advisory as well as restructuring, debt and strategic advisory. As an independent, privately owned firm we maintain offices in Frankfurt, Berlin, Munich, Zurich, Vienna and Hong Kong as well as strong alliances in China, India and the USA.
To date, we have completed more than 350 transactions with a total deal/financing volume of approx. EUR 17bn. Our clients are corporations, family-owned businesses, entrepreneurs, financial sponsors and family offices. While our home market is in the German speaking region, most clients are international and transactions cross-border. (www.acxit.com)
ACXIT Capital Holding GmbH
60323 Frankfurt am Main
Dr. Ingmar Ackermann, Managing Partner