Latest addition to the industry giant’s equity portfolio
The Chinese holding company Tencent has announced that it has acquired the British developer Sumo Group. Sumo Group becomes part of Tencent’s emerging portfolio of global video game developers and publishers.
Sumo Group was originally founded in 2003 and was born after the closure of the French developer Infogrames. Sumo Group was acquired by Foundation 9 Entertainment in 2008, and will eventually be announced as Sumo Group plc in 2017. While Tencent already had a stake in Sumo Group, this new agreement will give the previously full ownership to all Sumo Group’s subsidiaries, including Sumo Digital, (and the five respective UK studios), Atomhawk, Pipeworks Studios and the internal publisher Secret Mode.
“Tencent is pleased to have been an investor in Sumo since 201
“We hold Sumo’s team and the games they produce highly, and the strategy and spirit of innovation have been the basis of the business’ success for many years. Tencent intends to bring its expertise and resources to accelerate Sumo’s growth both in the UK and abroad, supporting Sumo in the top-level creative talent market, and the UK as a hub for gaming innovation. “
Sumo Group joins Tencent’s ever-expanding list of studios with which the conglomerate has minority or majority shares. Tencent’s portfolio includes full ownership of Riot Games, Funcom, Leyou and Sharkmob; majority stakes in Supercell, Klei Entertainment, Yager Development and Grinding Gear Games; and bets of various sizes in Activision-Blizzard, Ubisoft, Dontnod Entertainment, Remedy Entertainment, Bohemia Interactive, Marvelous and Epic Games.
Tencent acquires developer Sumo in a $ 1.3 billion deal [GamesIndustry.biz]