Frontier Developments PLC (LON:FDEV) has announced an agreement with Games Workshop Group PLC (LON:GAW) to develop a videogame within the world of Warhammer Age of Sigmar.
Under the licence, the computer games publisher has exclusive rights to develop and publish a real-time strategy game worldwide on PC and console platforms, expected for by May 2023, as well as rights for streaming services.
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Analysts at house broker Liberum said the deal “takes Frontier into an exciting new genre, extends revenue visibility into 2023 and highlights the increasing value and potential of their development and publishing platform”.
In a trading update, the AIM-listed firm said its pipeline is “stronger than ever”, with PlayStation and Xbox expansion for Planet Coaster and a new Elite Dangerous release scheduled for the year to next May.
Frontier Developments said the outbreak has driven up demand, so revenue for the year to 31 May is expected to be in the top of the £65-73mln guidance range.
Operating profit is anticipated to be £11-13mln.
As of Thursday, the videogame developer had £40mln in the bank and no debt.
Shares rose 4% to 1,576.5p on Friday at the opening bell.