title iconA takeover bid has been made for Unity, the developer of the Call of Duty

There has been a bid for the gaming software company Applovin Corp by the larger software company Unity Software, which is also into video game software development.

Approximately US$17 billion is believed to be involved in the deal, with AppLovin offering US$58.85 for each share of Unity, which is an 18% premium to the company's Monday closing price of US$58.25.

The Unity software was used to build Call of Duty: Mobile and Pokémon Go, while AppLoving enables developers to grow and monetize their applications. Reuter reports that Unity will own 55% of the outstanding shares of the combined company, representing roughly 49% of the total voting rights in the company.

Unity's attempt to take over ironSource, a smaller competitor, will be put at risk by this proposed merger. In a US$4.4 billion all-stock transaction announced last month, Unity said it would acquire IronSoruce, but would then be forced to terminate the deal should it wish to pursue a merger with AppLovin.

It has been proposed that Unity's chief executive, John Riccitiello, would become the chief executive of the combined business, while AppLoving's chief executive, Adam Foroughi, would become the chief operating officer of the combined business.