Chinese mega-corp Tencent confirmed today that it would be buying British video game developer Sumo in a deal worth $1.27 billion to bolster its growing portfolio of gaming investments that already includes the likes of Riot Games and Activision Blizzard. According to its official website, Sumo has aided in the development of various hit titles, such as IO Interactive’s first two Hitman reboots, Hitman and Hitman 2, as well as Sony’s Sackboy: A Big Adventure and Microsoft Studios’ Forza Horizon 2. Comprising four core operating businesses (Sumo Digital, Atomhawk, Pipeworks, and Secret Mode), the Sumo Group oversees ten studios that are spread across UK, Europe, Canada, India, and the United States.
The purchase, which will boost the Chinese internet giant’s presence globally, brings together Sumo’s racing and snooker games with Tencent’s more high-profile range of games that includes Call of Duty’s mobile version. Shareholders in Sheffield-based Sumo will get 513 pence in cash per share, a 43% premium to the last price and valuing the company at 919 million pounds, Tencent said, sending Sumo’s shares surging 42% to a record high.