Keywords buys d3t for £3 million
UK-based outsourcing firm is the latest acquisition in Keywords' growth strategy
Keywords Studios, the international technical services provider to the global video games industry, today announces that it has acquired d3t ltd ("d3t"), for a total consideration of £3 million from the founders Jamie Campbell and Stephen Powell and others (the "Sellers").
Based in the North West of England, between Liverpool and Manchester, d3t delivers premium quality outsourced software development services for video game developers and publishers internationally.
The acquisition of d3t is in line with Keywords Studios' strategy to grow organically and by acquisition as it selectively consolidates the highly fragmented market for video game services. d3t brings additional skills, client relationships and geographic reach to Keywords, extending the strength and scale of its recently established Engineering service line.
Founded in 2011 and now employing 44 staff, d3t is an award-winning software development company with capabilities including HD re-mastering, porting, optimisation, rendering and game systems development. Over the course of the last six years they have delivered consistent high quality across dozens of projects for clients such as SEGA, Codemasters, Sony XDev and the BBC.
Jamie Campbell and Stephen Powell, along with the rest of d3t team, will remain with the business.
In the year ended 31st of July 2017, d3t achieved revenues of £2.8 million and an underlying adjusted pre-tax profit of £0.4 million.
Under the terms of the acquisition Keywords is paying a consideration comprised of £2.4m in cash and the issue of 42,368 new ordinary shares in Keywords, which will be subject to a two-year lock in period.
Application has been made to the London Stock Exchange for the admission of 42,368 new ordinary shares to trading on AIM. Admission of the new shares is expected to take place at 8.00am on 24 October 2017. The Company's total issued share capital following admission will consist of 56,211,141 ordinary shares of one pence each with one voting right per share. The above figure of 56,211,141 may be used by shareholders as the denominator for the calculations by which they can determine if they are required to notify their interest in, or a change to their interest in, the Company following admission.