Swedish private equity firm EQT Group has proposed to acquire Irish outsourcing company Keywords Studios. As a result, the developer saw the largest increase in its share price since going public in 2013.

Keywords Studios shares surge 62% following a £2 billion bid from EQT Group

  • As Keywords Studios announced on May 18, it is now in advanced talks with EQT Group regarding its offer to pay £25.5 per share to acquire the entire share capital of the company. According to Bloomberg, it is up 73.5% from Keywords’ closing price of £14.7 per share on May 17.
  • The proposed deal would value the studio at over £2 billion ($2.5 billion).
  • Keywords’ board of directors rejected four previous bids from EQT in recent months, but is willing to accept a new proposal if the Swedish firm confirms its intent and finalizes its offer no later than June 15.
  • On May 20, Keywords’ stock soared 62% to £23.8 per share, bringing its market value to £1.9 billion. Bloomberg noted that this is the biggest rise the company has seen since its IPO in 2013.

Founded in 1998, Keywords Studios is a constantly expanding company that has over 20 offices across the globe and provides other developers and publishers with various outsourcing services, including art, QA, engineering, localization, and audio production.

Its clients include companies such as Electronic Arts, Microsoft, Riot Games, Supercell, Ubisoft, Nexon, Bandai Namco, Take Two, Bethesda, SIE, and Square Enix. The studio has worked on hundreds of games, including Call of Duty, Alan Wake II, Starfield, Assassin’s Creed, Remnant II, Guardians of the Galaxy, Diablo IV, Hogwarts Legacy, Fortnite, Clash of Clans, Dead Island 2, League of Legends, and Baldur’s Gate 3.

Keywords is also known for actively acquiring other developers and service providers. In 2023 alone, it purchased Hardsuit Labs, Digital Media Management, 47 Communications, and the Multiplayer Group. Its other subsidiaries include Sperasoft, Mighty Games, Forgotten Empires, Heavy Iron Studios, Smoking Gun Interactive, and Climax Studios.

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