Keywords Studios PLC on Friday said it has entered into a deal to acquire the business and assets of Mindwalk Studios for USD5.5 million. Keywords, which provides technical services to the video games industry, said Mindwalk is based in Beijing, China and provides outsourced art-creation services to video games companies.
Mindwalk will boost Keywords’ capacity in the fast-growing and high-margin art creation market by around 30%, Keywords said, and will provide access to the Chinese market for video game art talent. Keywords will pay USD3.9 million in cash, USD500,000 of which will be deferred to the third anniversary of the deal, with the rest to be covered by the issue of 513,189 Keywords shares.
“The acquisition of Mindwalk significantly enlarges the scale of our art services business line, giving us greater penetration of this attractive market and represents our first significant move into the fast growing Chinese market,” said Andrew Day, Keywords’ chief executive.