Keywords Studios PLC (LON:KWS) said it is trading in line with market expectations as it announced another of its typical bolt-on acquisitions.
The company, which provides services to computer game developers, is to acquire Sunny Side Up Creative from its founder, Thomas Giroux, for C$5.9mln, of which C$4.75mln in being paid in cash, with the rest satisfied through the issue of Keywords shares.
READ Keywords Studios confident of meeting expectations as it hits the acquisition trail again
Based in Quebec City, Canada, Sunny Side Up produces marketing assets for game publishers and developers including game trailers, key art assets and motion graphic production, Keywords said.
The acquisition will complement and build on Keywords' game trailer and marketing services offering provided by Fire Without Smoke, The TrailerFarm and its other art services studios.
In the year to the end of September 2018. Sunny Side Up produced positive underlying earnings of C$1.2mln.
“Following our acquisitions of Fire Without Smoke and The TrailerFarm, Sunny Side Up's high-quality game trailers, technical expertise and marketing service experience further extends the Group's geographic, client reach and scale in this relatively new and exciting area for Keywords,” said Andrew Day, the chief executive officer of Keywords.
"As part of the group, Sunny Side Up will be able to leverage our well-established presence in Montreal and Quebec City to support its continued growth,” Day added.
The company is set to provide a trading update before the end of January but informed the market that it expects full-year adjusted profit before tax to be around €37mln on revenues that will be in the region of €250mln.