Listed games developer’s share issue after £2m acquisition

Sheffield-headquartered video games developer Sumo Group has announced the issue of 1,162,791 ordinary shares as deferred consideration for its acquisition of Red Kite Games.

The shares are being issued on the first anniversary of the completion of the acquisition, in accordance with the terms of the purchase.

As previously announced, they represent £1.5m of deferred consideration based on the share price of 129p at the date of acquisition.

Sumo bought Red Kite Games, a work-for-hire studio focusing on engineering and code support services, as part of its growth strategy through increased capacity and access to a new talent pool in West Yorkshire.

Red Kite was established by ex-Rockstar Games developer Simon Iwaniszak in 2012. It used to operate from a single studio in Huddersfield but is now based in Leeds.