Games developer gears up for £150m IPO

Sheffield-based games developer Sumo Digital is understood to be preparing for an initial public offering that could be worth £150m.

The company is believed to have recruited the services of Zeus Capital to advise on a listing in London, according to a report by The Times.

No further details of the potential listing, such as a date, were discussed.

Sumo Digital  is known for titles such as Snake Pass and the Sonic & Sega All-Stars Racing franchise.

It currently employs around 400 staff and has studios in Sheffield, Nottingham and Pune, India.

In 2014, NorthEdge helped the management team acquire the business in a buyout from Foundation 9 Entertainment, the US entertainment media company which acquired Sumo in 2007.

Two years later, it was announced that Perwyn had acquired NorthEdge’s stake in the studio.

Earlier this year the company acquired art and design studio Atomhawk, which was founded in 2009 and works on blockbuster movies and games across PC, console and virtual reality platforms: including Marvel Studios’ ‘Guardians of the Galaxy’ and games ‘Injustice 2’ and ‘Eve: Valkyrie’.

The terms of the deal were undisclosed, but the studio brought a further 29 staff to the group.