EQT in advanced talks to buy Keywords Studios for $2.8 bln (updated)
19/05/2024 16:01
(Changes headline, rewrites throughout with changed sourcing)
May 19 (Reuters) - European private equity group EQT
EQTAB.ST is in advanced discussions to buy Dublin-based video
game services company Keywords Studios KWS.L for 2.2 billion
pounds ($2.79 billion), the companies said in a statement.
EQT is negotiating over a possible cash offer of 25.50
pounds per share of London-listed Keywords, the statement said.
This offer represents a premium of about 73% over Keywords'
closing share price of 14.70 pounds on Friday.
EQT had previously made four unsolicited proposals for
Keywords, all of which were rejected by the company's board, the
statement said. The current offer represents a significant
increase from the initial proposal, it added.
After careful evaluation with its financial advisors,
the Keywords board concluded that it "would be minded to
recommend" the proposal to the company's shareholders, the
statement said.
Under Britain's takeover rules, EQT has until June 15 to
either make a firm offer or walk away.
Established in 1998, Keywords Studios is a global
provider of creative and technology-enabled solutions to the
video games and entertainment industries and now has over 70
facilities in 26 countries.
($1 = 0.7875 pounds)
(Reporting by Nilutpal Timsina and Surbhi Misra in Bengaluru;
Editing by David Goodman and Susan Fenton)
((Nilutpal.Timsina@thomsonreuters.com; +91 86382 04706;))