Ourpalm (SZ: 300315), an A-share gaming company, invested a total of 2.55 billion yuan ($416.51 million) to acquire a 100% stake in Playcrab (1.74 billion yuan) and a 70% stake in Shanggame (814 million yuan) via cash payment and private placement after three months of suspension (report in Chinese).

Playcrab, a leading domestic game developer, generated 96.69 million yuan in 2013 H1. It ranked the fifth in domestic gaming market with a market share of 3.8%, according to 2013 H1 research conducted by Enfodesk. The company’s flagship games are Kung Fu mobile game Big Head and Ninja, a strategic mobile game.

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Shanggame attracted more than 43 million registered players after opened up to Tencent platform one year ago, recording over 149 million of recharging fees. The company’s premium product is Tafangsanguo.

Ourpalm signed stringent VAM (valuation adjustment mechanism) agreements with the two companies. Playcrab promised that the company’s net profit for 2013 to 2016 will reach 120 million, 160 million, 200 million and 240 million yuan, respectively. Shanggame pledged that its net profit for the same period will reach 75 million, 125 million, 156 million and 190 million, respectively. Otherwise, they will compensate the losses of Ourpalm according to contracts.

This move comes on heel of Ourpalm’s acquisition of another game company Dovo Technology Inc. with 810 million yuan at early July.

Ourpalm planned to consolidate its foothold in R&D, distribution and operation of mobile game and web game sector with these acquisitions, according to Yao Wenbin, board chairman of the company.