Games developer continues to level up with acquisition
Sheffield-headquartered Sumo Group, has continued it growth with the purchase of a new work for hire studio in Leamington Spa, Lab42 for $600,000. (£491,000)
The acquisition build’s on the group’s recent success having achieved record revenues last year after it acquired Red Kit Games in Leeds and launched two new studios one of which was also in Leamington Spa.
The deal adds a further 29 people to Sumo’s headcount, providing increased capacity and “a number of new client relationships.”
The studio has strong track record working on projects for clients like Sega Europe Publishing and on titles in popular series Football Manager, Sonic and Yakuza.
It also holds an exclusive licence to use the World Snooker Tour brand and was sole developer on the photo-realistic, sports simulation game Snooker 19.It will continue to be led by managing director Ed Blincoe and operate under the Lab42 name as part of the Sumo Group.
Carl Cavers, chief executive officer of Sumo Group, said: “Lab42 is a super business and we are delighted to welcome Ed and his team to Sumo Group and to the Sumo Digital family of studios.
“The opportunity to buy Lab42, a business which is highly respected in the industry and well known to key members of our team, was both timely and compelling. The addition of a 29 strong, established, proven and talented team will help keep our organic growth ambitions on track, through the COVID-19 pandemic.
“Lab42 also brings the exclusive licence to use the World Snooker Tour brand which supplements the Group’s strengthening Own-IP portfolio, along with some exciting new client relationships and opportunities.”
“Sumo Group continues to operate well through the unprecedented COVID-19 challenges and the team at Lab42 has also successfully transitioned to working from home.
“The video games market is very strong and we are seeing some great opportunities to work on new games.”
Sumo Group were advised on this deal by Addleshaw Goddard’s corporate team in Yorkshire.