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(Sharecast News) - Video game industry services business Keywords Studios has acquired Wushu Studios, a leading game development studio headquartered in Liverpool.
Keywords Studios said on Tuesday that the consideration comprised an upfront and earn-out component and was expected to fall within its targeted valuation range. The upfront consideration, the value of which was not disclosed, was paid in cash and funded from the group's existing revolving credit facility.
The AIM-listed group added that Wushu anticipates aadjusted revenues of approximately £12.5m and an adjusted underlying earnings margin in line with its own in the year ending 31 August.
Chief executive Bertrand Bodson said: "We are thrilled to welcome Wushu to Keywords. The acquisition aligns with our strategy to build out our game development offer globally. We now have two studios in Liverpool which is a key regional hub for talent in the UK.
"Wushu's highly skilled team, strong relationships and opportunities for growth will be important assets that complement our existing Create studios as we continue to enhance our offering to our global client base."
As of 0950 BST, Keywords shares were untraded at 2,400.0p.
Reporting by Iain Gilbert at Sharecast.com
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