EQT moves towards £2.1bn takeover of UK-listed Keywords Studios

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EQT moves towards £2.1bn takeover of UK-listed Keywords Studios
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Dublin-based games company ‘minded to recommend’ slightly lower offer from European private equity group

The private equity group EQT has slightly lowered its bid to acquire Keywords Studios to about £2.1bn, as the London-listed video game services company reported some of its projects were delayed or cancelled.The board of Keywords said it would be “minded to recommend” the latest price of £24.50 per share, which marked a small decrease from EQT’s proposal in May.

The company’s clients include Activision Blizzard, Electronic Arts and Tencent, and it has worked on games such as Fortnite and League of Legends.Listed on London’s junior Aim market, Keywords floated in 2013 at a market valuation of less than £50mn before its stock took off.More recently though, its share price has halved from a peak in September 2021, as investors worried about the potential for some of its services, such as translation, to be disrupted by artificial intelligence.

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