EXCLUSIVE: DPCM Capital And Jam City CEOs Talk Growth, Games, SPAC Deal On 'SPACs Attack'

Mobile entertainment company Jam City Inc entered into a definitive agreement to go public via special purpose acquisition company (SPAC) Dpcm Capital Inc XPOA on May 20. 

The transaction values the combined company at an enterprise value of $1.2 billion.

DPCM Capital CEO Emil Michael and Jam City CEO Chris DeWolfe appeared on Benzinga's YouTube show "SPACs Attack" for an exclusive interview Thursday. 

Jam City Growth Opportunity: Jam City is a legitimate business generating revenue right now, making it an attractive target for DCPM Capital, Michael said.

The company has a growing TAM of 2.7 billion gamers currently, he said.

Jam City has an impressive lineup of games that have the ability to "catch fire" and blow through projections, Michael told Benzinga.

Jam City creates premium social-based games designed to be played for years, DeWolfe said, adding that much of its revenue comes from gamers who downloaded the games in previous years. 

Its pipeline of games is one of the strongest in the industry, he noted.

The company has experienced dramatic growth both organically and as a result of its acquisitions, DeWolfe told Benzinga. 

Jam City Live: Jam City Live is the technology platform that underpins all of the Jam City games, DeWolfe said.

The platform uses machine learning, artificial intelligence and data science to help with player acquisition, retention and monetization, he added. 

Jam City Live automates the process of determining said information, which allows the company to more easily understand how its players are interacting with its games, he said. 

SPAC Deal Notes: Jam City will use the cash proceeds from the SPAC transaction to acquire the Montreal-based mobile game publisher Ludia Inc. Ludia is incredibly creative and focuses on building "deep, rich narrative games," DeWolfe told Benzinga. 

A SPAC was the best vehicle to the public markets because it allowed the company to close its acquisition of Ludia while simultaneously going public, DeWolfe said. 

Upon closing, the combined company will be listed on the New York Stock Exchange as Jam City Holdings Inc and trade under the ticker symbol “JAM."

Related Link: 'SPACs Attack' Recap: Looking Back At 3 SPAC Deals, SPAC Rumors And The Latest SPAC Headlines And Earnings 

At last check Thursday, DPCM Capital was up 0.20% at $9.83.