# Are You Planning to Buy a Mobile Game Company in Turkey? Here’s Everything You Need to Know # **Are You Planning to Buy a Mobile Game Company in Turkey? Here’s Everything You Need to Know** ### 1\. Turkey’s Mobile Gaming Scene Is Exploding Over the past decade, Turkey has transformed from a regional tech outpost into one of the world’s fastest-growing hubs for mobile game development. Top acquisitions such as Peak Games (acquired by Zynga for **$1.8 billion**) and Dream Games (valued over **$2 billion**) have positioned Turkey as the **“Silicon Valley of Mobile Gaming.”** Behind this momentum lies a combination of: * a highly skilled young developer base, * favorable tax and incentive frameworks, * and strong government support for export-oriented digital businesses. If you are considering **acquiring a Turkish gaming company**, now is the time to understand both the **financial upside** and the **regulatory framework** that shape the local ecosystem. --- ### 2\. Why Investors Are Targeting Turkish Gaming Companies Global investors—particularly from the US, EU, and Asia—view Turkey as a **gateway to emerging markets** with Western-standard production quality at competitive costs. Key drivers include: * **Government incentives:** Technopark income tax exemptions and TÜBİTAK R&D grants reduce effective tax rates dramatically. * **Talent supply:** Over 30,000 active game developers and hundreds of specialized art, animation, and Unity studios. * **Low acquisition cost:** Studio valuations remain 40–60% lower than equivalent European counterparts. * **USD-denominated revenues:** Most Turkish studios export via App Store, Google Play, or Steam—hedging local currency risk. In short: Turkey offers both **operational leverage** and **tax efficiency** rarely seen in other gaming markets. --- ### 3\. Due Diligence and Legal Structure When acquiring a Turkish gaming studio, investors should conduct a full **financial, tax, and legal due diligence** before closing the transaction. Critical review areas include: * **Corporate structure:** Is the entity a Limited Company (*Ltd. Şti.*) or Joint-Stock Company (*A.Ş.*)? * **Shareholder registry:** Ensure no unrecorded transfers or informal capital contributions. * **Intellectual property rights:** Confirm that all IP (code, design, music, artwork) is owned by the company—not freelancers. * **Tax compliance:** Review export declarations, Technopark exemption certificates, and VAT refund files. * **Employment contracts:** Verify that game developers are legally employed under Turkish labor law and have assigned IP rights to the company. Many acquisitions fail not because of valuation disagreements—but due to **unresolved IP ownership and tax exposure.** --- ### 4\. Incentives That Shape Valuations Turkey’s incentive ecosystem can significantly increase post-acquisition profitability: | Incentive Type | Description | Benefit | | --- | --- | --- | | **Technopark Income Tax Exemption** | Applies to R&D-based revenues from software/game exports | 100% income tax exemption until 2028 | | **TÜBİTAK 1512 / BİGG Grants** | Early-stage funding for new studios | ₺900,000–₺1,200,000 non-refundable | | **R&D Center Certification** | For studios with 15+ full-time engineers | Corporate tax exemption + R&D deductions | | **Ministry of Trade Export Support** | Covers marketing, advertising, and platform fees | Up to 50% reimbursement | | **VAT Refund for Exported Software** | No VAT burden on cross-border digital sales | 18% savings on net price | These programs are cumulative—meaning an acquired company can retain or requalify for them after the ownership change, **if the new structure complies with local law.** --- ### 5\. M&A Process: Step by Step 1. **Target identification** — Select studios with export-driven revenues, IP ownership, and consistent monthly ARPU growth. 2. **Pre-acquisition audit** — Engage a Turkish CPA (YMM) to analyze tax records and government incentive eligibility. 3. **Legal review** — Conduct IP assignment checks, shareholder resolution review, and employment due diligence. 4. **Valuation** — Apply discounted cash flow (DCF) or ARR multiples adjusted for Technopark exemptions. 5. **Signing & Closing** — Share transfer at the Turkish Trade Registry, followed by bank account transition and post-merger filings. --- ### 6\. Tax and Repatriation Considerations Foreign investors can repatriate profits freely, provided they comply with **Central Bank reporting (CBRT Form)** and **double taxation treaty (DTT)** provisions. Key points: * **Corporate tax rate:** 25% (can be reduced to 0% with Technopark exemption). * **Dividend withholding:** 10% (may be reduced under DTT). * **No capital gains tax** for non-resident shareholders if structured properly. With professional structuring, a foreign buyer can achieve **effective tax rates under 5–10%.** --- ### 7\. Why Partner With Local Advisors M&A in the gaming sector isn’t just a legal transaction—it’s a combination of **creative IP transfer, financial compliance, and regulatory navigation.** At **OZM Consultancy**, we specialize in: * cross-border **tax structuring** for gaming investments, * **due diligence** and risk analysis of target studios, * **company formation** and post-acquisition reorganization, * and **incentive compliance** (Technopark, TÜBİTAK, export supports). --- ### 8\. Final Takeaway Turkey’s gaming sector stands at the crossroads of creativity and capital. For investors and acquirers, it represents not just a growth opportunity—but a chance to enter a self-sustaining ecosystem that keeps producing global-class titles. **If you are considering buying a gaming company in Turkey or need expert guidance on incentives, tax, and company setup — contact OZM Consultancy today.** We help investors turn opportunity into structured, compliant, and profitable success. info@ozmconsultancy.com ![](https://cdn.hashnode.com/res/hashnode/image/upload/v1760164504474/0d1e2405-9f49-4dc0-b6b0-912ccff58c2c.png align="center")