This mobile gaming powerhouse is leading the way thanks to a diverse approach to revenue generation

By Patricia Miller


In this article

  • Loading...
  • Want to see what you should be buying? Check out our top picks.

Canada's LEAF Mobile is already generating millions of dollars of revenue every year.

LEAF Mobile’s innovative M&A approach leads it to snaps up another leading mobile games developer


Just under half of the global population has a smartphone, putting worldwide users at some 3.8 billion today.

That figure alone is impressive…

But did you also know that, of those 3.8 billion individuals, an extraordinary 2.6 billion are smartphone gamers?

Indeed, the size of today’s mobile gaming space is truly staggering.

And, in a sector this massive, there is—of course—plenty of money to be made.

In fact, almost half of all gaming industry revenues now come from mobile, and the space is set to deliver more than $100 billion of annual turnover by 2023.

Some forecasts even expect its annualized growth to average an impressive 12.6% over at least the next five years.

It’s no surprise, then, that companies are queueing up to seize this extraordinary potential for profits.

However, one name leading the pack by some considerable distance is Canada’s LEAF Mobile (TSX:LEAF | OTC:LEMLF).

READ OUR SPECIAL FREE REPORT for a look at why LEAF Mobile is the stock to back in the rapidly-growing mobile gaming space

Indeed, this mobile gaming group is already generating tens of millions of dollars of revenue every year thanks to its existing portfolio of enormously popular IP-driven games and unique software kit for developers.

But now, it’s moving to the next level.

You see, Leaf is aggressively pursuing an extensive pipeline of M&A opportunities that can complement its offering and increase its scale.

And with the firm recently executing the latest step in this strategy with its purchase of mobile games developer and publisher Truly Social Games…

It’s unlikely to be long before we see attention from mainstream investors soar as revenues continue to multiply in the face of more organic growth and additional follow-on acquisitions.

Another impressive acquisition

Leaf’s aggressive M&A strategy has already seen it snap up two other gaming businesses called LDRLY Games and East Side Games.

Notably, the latter made it one of the biggest mobile gaming companies in Canada in a single deal.

Now, the acquisition of Truly Social Games extends Leaf’s group even further.

With the buy, Leaf expands an already solid games portfolio, which generated record first-quarter revenues of $25.3 million—an impressive 95% jump on the year before and 10% higher than the previous quarter.

But beyond this, Truly Social Games is also a perfect fit for Leaf.

Indeed, the acquisition not only adds a highly skilled team of 50 people spread across two studios to its team…

But Truly Social Games has already built some seriously popular titles, with its Planet Gold Rush game having hit 1 million installs, while its Idle Surfing game is the number one free download on the App Store in Brazil.

The company has even worked with Leaf itself already on the Archer: Danger Phone game, which was published by the latter’s ESG studio.

Indeed, it’s because the newly acquired business used Leaf’s IdleKit technology to develop the game, an idea we will come back to shortly.

Leaf will initially acquire 20% of Truly Social Games for a preliminary investment of up to $3 million. This will allow the latter to develop four new game titles, two of which are set for a worldwide launch by Leaf in the second half of 2021.

Itwill then acquire the remaining 80% interest in Truly Social Games across two tranches, based on revenue targets.

Critically, if these targets are hit, then Leaf expects to generate impressive annualized revenues of around $60 million in the current year.

An ingenious pipeline strategy


Zooming out for a moment, and Leaf’s acquisition of Truly Social Games is an excellent example of its clever M&A strategy in action.

This is where we come back to IdleKit, the company’s software development platform built with the goal of de-risking mobile game development and improving the odds of success.

IdleKit became part of the firm when it bought East Side Games earlier this year.

And not only does Leaf itself make use of the platform when developing its own titles, but other third parties can also license the technology to build their own games.

The benefits of this arrangement are numerous for Leaf.

DOWNLOAD OUR EXCLUSIVE REPORT to learn how LEAF Mobile is poised to generate huge returns in the booming mobile gaming space

First, it receives high-margin SaaS revenues in exchange for letting developers use IdleKit…

Second, in most cases, the company publishes these games on behalf of third-party developers and gets a bigger cut of games revenue…

But third, and perhaps most importantly, Idlekit also serves as a pipeline for M&A targets, bringing in a long list of acquired growth opportunities.

You see, by licensing IdleKit to developers, Leaf can learn about these business partners and gain insight on how they might strengthen its own offering through acquisition.

It’s due diligence in action…

And Truly Social Games is a prime example, having been an IdleKit customer that has now become part of the company itself.

As chief executive officer, Darcy Taylor, put it in a June release on the deal…


From here, perhaps the most exciting thing is that Leaf still boasts many more industry-leading game developers as IdleKit partners beyond Truly Social Games.

One example is Bigfoot Gaming, which entered a multi-year publishing and IdleKit partnership deal in April to release an as-yet-undisclosed iOS and Android game…

Another is Game Masons, which will develop a sports-themed mobile game…

And a third is TinyRex Games, which will use IdleKit to develop three games, including one based on The Wizard of Oz.

Of course, all of these partners bring in revenue by themselves through their use of IdleKit.

But the real value could come over the medium-to-long term if they become acquisition targets and provide Leaf with extended growth and scale in the booming mobile market.

An unmatched opportunity

Bottom line is, being a leading player in the mobile gaming market is an extremely valuable position given the level of growth on offer.

With Leaf, you get a company that not only boasts strong revenue from its own game portfolio and from its IdleKit platform…

But you also get a company with a revolutionary M&A strategy that is already delivering opportunities like Truly Social Games right into its path.

With plenty more organic and acquired growth on the cards, the time to seize this opportunity with both hands is now.



This communication is a paid advertisement. ValueTheMarkets is a trading name of Digitonic Ltd, and its owners, directors, officers, employees, affiliates, agents and assigns (collectively the “Publisher”) is often paid by one or more of the profiled companies or a third party to disseminate these types of communications. In this case, the Publisher has been compensated by Leaf Mobile Inc. to conduct investor awareness advertising and marketing and has paid the Publisher the equivalent of two hundred and forty thousand US dollars to produce and disseminate this and other similar articles and certain related banner advertisements. This compensation should be viewed as a major conflict with the Publisher’s ability to provide unbiased information or opinion.


Readers should beware that third parties, profiled companies, and/or their affiliates may liquidate shares of the profiled companies at any time, including at or near the time you receive this communication, which has the potential to adversely affect share prices. Frequently companies profiled in our articles experience a large increase in share trading volume and share price during the course of investor awareness marketing, which often ends as soon as the investor awareness marketing ceases. The investor awareness marketing may be as brief as one day, after which a large decrease in share trading volume and share price may likely occur.


This communication is not, and should not be construed to be, an offer to sell or a solicitation of an offer to buy any security.


Neither this communication nor the Publisher purport to provide a complete analysis of any company or its financial position.

This communication is based on information generally available to the public and on an interview conducted with the company’s CEO, and does not contain any material, non public information. The information on which it is based is believed to be reliable. Nevertheless, the Publisher does not guarantee the accuracy or completeness of the information. Further, the information in this communication is not updated after publication and may become inaccurate or outdated. No reliance should be placed on the price or statistics information and no responsibility or liability is accepted for any error or inaccuracy. Any statements made should not be taken as an endorsement of analyst views.


The Publisher is not, and does not purport to be, a broker-dealer or registered investment adviser or a financial adviser. The Publisher has no access to non-public information about publicly traded companies. The information provided is general and impersonal, and is not tailored to any particular individual’s financial situation or investment objective(s) and this communication is not, and should not be construed to be, personalized investment advice directed to or appropriate for any particular investor or a personal recommendation to deal or invest in any particular company or product. Any investment should be made only after consulting a professional investment advisor and only after reviewing the financial statements and other pertinent corporate information about the company. Further, readers are advised to read and carefully consider the Risk Factors identified and discussed in the advertised company’s SEC, SEDAR and/or other government filings. Investing in securities, particularly microcap securities, is speculative and carries a high degree of risk. Past performance does not guarantee future results.


This communication contains forward-looking statements, including statements regarding expected continual growth of the featured companies and/or industry. Statements in this communication that look forward in time, which include everything other than historical information, are based on assumptions and estimates by our content providers and involve risks and uncertainties that may affect the profiled company’s actual results of operations. These statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results and performance to differ materially from any future results or performance expressed or implied in the forward-looking statements. These risks, uncertainties and other factors include, among others: the success of the profiled company’s operations; the size and growth of the market for the company’s products and services; the company’s ability to fund its capital requirements in the near term and long term; pricing pressures; changes in business strategy, practices or customer relationships; general worldwide economic and business conditions; currency exchange and interest rate fluctuations; government, statutory, regulatory or administrative initiatives affecting the company’s business.


By reading this communication, you acknowledge that you have read and understand this disclaimer in full, and agree and accept that the Publisher provides no warranty in respect of the communication or the profiled company and accepts no liability whatsoever. You acknowledge and accept this disclaimer and that, to the greatest extent permitted under applicable law, you release and hold harmless the Publisher from any and all liability, damages, injury and adverse consequences arising from your use of this communication. You further agree that you are solely responsible for any financial outcome related to or arising from your investment decisions.


By reading this communication you agree that you have reviewed and fully agree to the Terms of Use found here and acknowledge that you have reviewed the Disclaimer found here If you do not agree to the Terms of Use, please contact to discontinue receiving future communications.


All trademarks used in this communication are the property of their respective trademark holders. Other than, the Publisher is not affiliated, connected, or associated with, and the communication is not sponsored, approved, or originated by, the trademark holders unless otherwise stated. No claim is made by the Publisher to any rights in any third-party trademarks other than

AUTHORS: VALUETHEMARKETS and Digitonic Ltd and our affiliates are not responsible for the content or accuracy of this article. The information included in this article is based solely on information provided by the company or companies mentioned above. This article does not provide any financial advice and is not a recommendation to deal in any securities or product. News and research are not recommendations to deal, and investments may fall in value so that you could lose some or all of your investment. Past performance is not an indicator of future performance.

ValueTheMarkets do not hold any position in the stock(s) and/or financial instrument(s) mentioned in the above piece. ValueTheMarkets have been paid to produce this piece by the company or companies mentioned above. Digitonic Ltd, the owner of, has been paid for the production of this piece by the company or companies mentioned above.


In this article:


Author: Patricia Miller

This article does not provide any financial advice and is not a recommendation to deal in any securities or product. Investments may fall in value and an investor may lose some or all of their investment. Past performance is not an indicator of future performance.

Patricia Miller does not hold any position in the stock(s) and/or financial instrument(s) mentioned in the above article.

Patricia Miller has been paid to produce this piece by the company or companies mentioned above.

Digitonic Ltd, the owner of, does not hold a position or positions in the stock(s) and/or financial instrument(s) mentioned in the above article.

Digitonic Ltd, the owner of, has not been paid for the production of this piece by the company or companies mentioned above.

Sign up for Investing Intel Newsletter