Broker comment on KWS acquisition1 Nov 2017 14:09
Commentary from an analyst at Davy Stockbrokers on KWS and on the sector in general, plus KWS have been nominated for an award:
Http://www.irishexaminer.com/business/irish-video-gaming-industry-offers-major-possibilities-461881.html
"Irish video gaming industry offers major possibilities
Monday, October 30, 2017
A measure of the growth possibilities offered by the video games industry in Ireland was underlined in last week�s major acquisition by Dublin headquartered Keyword Studios of US-based VMC Consulting for $66m (�57m).
It follows a number of smaller takeovers earlier this year by the Leopardstown-based company, which recently raised approximately �85m through a 10% share issuance.
Founded in 1998, the company started out providing spoken-word audio services for game producers, but has expanded significantly over the years through a mix of organic growth and acquisition, and is now listed in London.
Working with many of industry�s major players � EA Sports, Konami and Ubisoft � Keyword�s latest acquisition makes the firm one of the biggest players in its field.
�While this fast-tracks Keyword to No 1 in functional testing from No 5, this deal also brings with it the company�s biggest integration lift to date,� says Davy analyst Joseph Quinn.
�Outsourcing within the $100bn-plus video game industry is growing, and developers are increasingly turning to outsourcing partners to achieve faster content delivery, driven by the pace of mobile and online game development. Keywords Studios, the largest provider of outsourced technical services to the industry, is the leading consolidator within this space.�
Keywords Studios have also been shortlisted in the Deloitte Technology Fast 50 Programme 2017. The company has studios in London, Barcelona, Milan, Rome, Tokyo, Singapore, Shanghai, New Delhi, Montreal, Seattle, Los Angeles and Rio de Janeiro, employing over 1,500......
.....As a pointer for the video game industry�s potential future dominance of the entertainment sector, in 2013 Grand Theft Auto V made $800m worldwide in its first 24 hours - more than any single game, film or record in history. In the same year, global video games sales were $70bn, versus cinema�s $35bn."