Sumo Group, the British studio whose major outfit Sumo Digital have worked on games such as Team Sonic Racing and SackBoy: A Big Adventure, is being acquired by Tencent in a deal worth a staggering $1.27 billion.
The Chinese behemoth already owns a 8.75% stake in Sumo, and the new deal will represent a 43% premium on the Sheffield-based company’s current valuation.
In addition to its work on the Sonic racing games and LittleBigPlanet’s platforming spinoff, Sumo Digital also worked on Crackdown 3 for the Xbox One and PC. The studio was also responsible for LittleBigPlanet 3, taking over from series creator Media Molecule.
Carl Cavers, CEO of Sumo, commented:
The three founders of Sumo, who work in the business, Paul Porter, Darren Mills and I are passionate about what we do and are fully committed to continuing in our roles. The opportunity to work with Tencent is one we just couldn’t miss. It would bring another dimension to Sumo, presenting opportunities for us to truly stamp our mark on this amazing industry, in ways which have previously been out-of-reach.
Tencent has already made a number of steps towards gaining a strong foothold in the games industry, having previously invested heavily in the likes of Epic Games, Riot, Activision, and Ubisoft.
[Source – The Verge]