Game developer Sumo confirms £145m float
Video game developer Sumo Digital has confirmed plans to pursue a £145m float on the AIM market of the London Stock Exchange.
Sumo Digital was established in 2003 by Carl Cavers, Paul Porter and Darren Mills and now has studios in Sheffield, Nottingham, Newcastle Pune (India) and Vancouver (Canada) and employs approximately 450 staff.
The group also consists of recently acquired visual design company Atomhawk Design.
Sumo has relationships with international developers and publishers including Microsoft, Sony and Sega and has worked on titles including OutRun 2, Forza, Hitman, LittleBigPlanet, and Sega & Sonic All-Stars.
The games studio was purchased in a management buyout backed by Perwyn in 2016. It followed the 2014 management buyout assisted by NorthEdge Capital.
Co-founder and chief executive Carl Cavers described the float as a "significant step forward" in Sumo's journey to become a "global leader in premium development and creative services to the video game and wider entertainment industries".
He added: "We have had an overwhelmingly positive response to the IPO, which has been very well supported by blue chip institutional investors.
"Our people are our business; we believe our teams are very well positioned to lead the way in one of the world's most exciting creative industries.
"Being a quoted company in a fast-growing tech sector will, we believe, allow us to execute our strategy, whilst continuing to put quality and creativity at the forefront of the products and services we deliver."
Sumo, which expects to begin trading on AIM on 21 December, has raised almost £38.5m of capital through a share placing.
The proceeds will be used to deleverage the balance sheet, pay the costs associated with the placing and admission and provide additional working capital for the business.