Nottingham game development studio acquired for £76.5m

Keywords Studios, a provider of creative and technology-driven solutions for video games and entertainment, has acquisition of The Multiplayer Group, a Nottingham-based game development studio.

The deal valued at £76.5m, involves Keywords Studios taking over the business from Improbable, the metaverse company that has owned The Multiplayer Group since 2019.

MPG specialises in AAA multiplayer games and technology. They collaborate with publishers, including Activision Blizzard, Bethesda, Zenimax, Epic, and 2K

The leadership team consists of Andy Norman, Rocco Loscalzo, Vaughan O’Brien, and Roger Cheung, who will retain their roles following the acquisition.

The business foresees strong revenue growth in 2024 and expects margins to align with those of Keywords’ Create division. It’s anticipated to positively impact earnings per share (EPS) in its first full year and fall within the group’s targeted valuation range of five to seven times EBITDA.

Bertrand Bodson, CEO of Keywords Studios, said: “We are thrilled to welcome the MPG team to Keywords. MPG is a business that we have long admired for its high-quality work, blue-chip client base, deep experience in developing AAA multiplayer games and its use of technology and data analytics.

“This is another important step in building out our platform and expanding our offering to encompass specialised multiplayer game development at scale, which is increasingly in demand for live services. We believe that MPG complements our existing high-quality UK and global Create studios and are excited to bring them into the Group.

“We look forward to working with Andy and the wider talented MPG team over the coming years to continue to drive growth in the business.”

Andy Norman, CEO of MPG, said: “MPG has found success in the multiplayer space through passion, expertise, and customer-driven collaboration. We have seen strong growth over the past few years, working on some of the most complex and successful games in the market, supported by our dedication to a sustainable, people-first culture. With Keywords, we believe we can continue to lead and grow multiplayer innovation, bringing the MPG ethos to more customers and games. We look forward to working closely with Keywords and driving growth both in MPG and across the enlarged Keywords group”.