Keywords Studios will soon become part of Swedish private equity firm EQT Group. The video game outsourcer’s board of directors has now approved the final bid worth more than £2 billion.

Keywords Studios' board approves the company's sale to EQT Group for £2.1 billion

EQT Group will acquire Keywords Studios through its newly formed subsidiary Bidco, according to the official announcement. The deal values the Irish company at about £2.1 billion ($2.5 billion).

The Swedish firm will pay £24.5 per share in cash for the entire issued and to be issued ordinary share capital of Keywords. This is below its previous proposal of £25.5 per share.

The acquisition is expected to be completed in the fourth quarter of 2024.

“This offer from EQT marks an exciting new chapter on our growth journey, with a like-minded partner who possesses deep sector expertise and a desire to accelerate the pace of our growth, both organically and through M&A, to unlock the many opportunities ahead of us across the entertainment landscape,” Keywords CEO said in a statement.

Jean Salata, chairman of EQT Group, noted that services provided by Keywords Studios combined with its investment strategy have the potential to drive further long-term growth.

According to Bidco, the company is “well placed to succeed in this large, fragmented and growing global gaming services market as an end-to-end player” and can accelerate its growth by “expanding into adjacent media and entertainment end-markets and fast-growing technologies.”

Founded in 1998, Keywords Studios currently has been constantly expanding since going public in 2013. It has made over 20 M&A deals over the past decade, including Sperasoft, Heavy Iron Studios, Climax Studios, Hardsuit Labs, Smoking Gun Interactive, and The Multiplayer Group.

Keywords provides other developers and publishers with various outsourcing services, including art, QA, engineering, localization, and audio production. It has established partnerships with many companies such as Microsoft, Riot Games, Nexon, Take-Two, EA, Ubisoft, and PlayStation. Its portfolio includes hundreds of games and franchises, from Call of Duty and Assassin’s Creed to Fortnite and Baldur’s Gate 3.

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