(Alliance News) - Video game developer Sumo Group PLC on Friday said that Chinese technology conglomerate Tencent Holdings Ltd has taken just shy of a 10% stake in the firm.
Sheffield-based Sumo, the developer behind the popular Forza motor racing series games, said Tencent has acquired 15.0 million shares in the company which were previously held by private equity firm Perwyn Bidco Ltd.
Perwyn's holding in Sumo has been reduced to 17% as a result.
Sumo Chief Executive Carl Cavers said: "We are delighted that Tencent have chosen to acquire a shareholding in the company, and we look forward to working with Tencent to explore co-development opportunities."
Tencent's video game unit owns US-based Riot Games Inc, best known for developing popular multiplayer online title League of Legends.
Head of Tencent Games Steven Ma said: "We are glad to invest in Sumo Group, a leading independent co-development studio. We look forward to supporting Sumo's growth and exploring collaborations with the company to bring more interactive entertainment experiences to global audiences."
Sumo shares were 9.0% higher at 167.82 pence each in London on Friday morning.
Tencent shares closed 0.1% higher at HKD320.00 in Hong Kong on Friday.
By Eric Cunha; ericcunha@alliancenews.com
Copyright 2019 Alliance News Limited. All Rights Reserved.
