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Splash Damage sold to Chinese poultry firm

Leyou will acquire the developer from Paul Wedgwood, along with Fireteam and Warchest

Splash Damage, known for its work on Brink, Enemy Territory: Quake Wars and the multiplayer in Gears of War 4, has been sold by Paul Wedgwood to a subsidiary (Radius Maxima) of Leyou Technologies Holdings Limited, which is actually a Chinese poultry company. As explained in the full statement, Leyou has been facing "an arduous task in respect of the Poultry Business," and is looking to expand its presence in the video game sector.

This is actually not the first game company acquisition by the firm, as it bought 58% of Warframe developer Digital Extremes in July 2015 followed by another 39% in May 2016, which enabled it "to diversify its business and mitigate the volatile and cyclical nature of the Poultry Business."

In addition to the Splash Damage, Radius Maxima is acquiring Wedgwood's online back-end tech business, Fireteam, and his online multiplayer publisher Warchest. The total consideration payable by Radius Maxima to Wedgwood "shall not exceed $150 million." The deal involves deferred payments, earn-out protections and more, which you can peruse in the document linked above.

Importantly, Radius Maxima has also agreed to "provide funding of up to a maximum of US$10 million to the Targets for an unannounced video game development project designed by Splash Damage."

Splash Damage was originally founded in 2001 in London.

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Latest comments (7)

Chris Carter Senior QA Director, Electronic ArtsA year ago
That's certainly an interesting acquistion for the Chinese firm. I hope there is no foul play here and that Exec have not put all their eggs in one basket.
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Greg Wilcox Creator, Destroy All Fanboys! A year ago
@Chris: GROAN. That yolk was pretty fowl. But okay, you win for not being chicken for making it.

That said, this deal made me chuckle and think of when Itochu Heavy Industries got into game making with this:

https://www.youtube.com/watch?v=EUqjvmh6X_I
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Jeff Kleist Writer, Marketing, Licensing A year ago
The software that authors most movie discs was originally made by a vacuum cleaner company. No, no one understands why. And no one understood their Terrible manual ;)
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Show all comments (7)
Klaus Preisinger Freelance Writing A year ago
Russian oligarchs and American investors sunk a lot of money into English football clubs. If you are not into football, because you are from generation video games, you might as well buy an entire company instead of being angel investor for a single project. For the developer, it certainly beats being bought by a conglomerate or large publisher.

and I believe I do not have to tell anybody about the synergies of games with health pick ups and the poultry business.
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Bjorn Larsson CEO & Executive Producer, Legendo EntertainmentA year ago
Los Pollos Hermanos.
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Michael Bennett Jack of all trades, master of some. A year ago
I think I speak for all of us when I say "it's about time we gamified egg laying"...
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Claas Grimm CRO, Red Hot CGA year ago
In addition to this not being the first investment in games from Leyou - the Chinese government has recently announced plans to reduce meat consumption per capita in China to almost half for environmental reasons. Certainly an additional motivation to diversify away from poultry.
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