Brink Developer Splash Damage Purchased by Chinese Poultry Company
Paul Wedgwood sold Brink developer Splash Damage to Radius Maximus, a subsidiary of Leyou Technologies Holdings Limited. What’s most interesting about this acquisition is that parent company Leyou is a Chinese poultry company. Leyou provided the following reason for the leap into video games:
According to the annual report for the year ended 31 December 2015 (the ?2015 Annual Report?), the Group continues to face an arduous task in respect of the Poultry Business, where, despite efforts to improve raw materials procurement, feed production, breeder and broiler breeding, broiler slaughtering and process, quality and safety management and sales mix rationalisation and channel expansion, the management of the Group still has limited control of the business results and profitability under the harsh operational environment in the PRC. The 2015 Annual Report also stated that the global market for video games industry continued to experience healthy growth despite a slowing world economy.
Splash Damage is actually only Leyou’s second video game developer purchase. They started the process of buying Warframe developer Digital Extremes in July 2015 and sealed the deal in May 2016. After just five months of owning most of Digital Extremes, the company saw crazy profits over their chicken business.
The entrance into the Video Gaming Business enabled the Group (i) to diversify its business and mitigate the volatile and cyclical nature of the Poultry Business; and (ii) ...
Source: PlayStation LifeStyle
URL: http://www.playstationlifestyle.net
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