Mobile games services company AppLovin has put forward a proposal to buy Unity.
In a release to investors, the firm has proposed an all-stock deal and offered $58.85 per share for the engine giant, an 18 per cent premium on the company's stock price at closing the previous day. This deal is also contingent on Unity terminating its proposed merger with IronSource, which is a rival to AppLovin.
"Over the last decade we have built and operated a leading and innovative company in mobile app marketing and monetization solutions," AppLovin CEO Adam Foroughi said
"Unity is one of the world's leading platforms for helping creators turn their inspirations into real-time 3D content. With the scale that comes from unifying our leading solutions and innovation that would be achieved with the combination of our teams, we expect that game developers would be the biggest beneficiaries as they continue to lead the mobile gaming sector to its next chapter of growth."
AppLovin shareholders don't seem to be too happy with the deal, with the company's share price closing down 10.29 per cent yesterday.
Both Unity and AppLovin have made considerable layoffs recently. The former cut hundreds of roles in June of this year, while the latter slashed 12 per cent of its workforce.