EQT believes that taking Keywords private will facilitate its growth potential. “Operating in the private markets, coupled with additional capital, would enable Keywords Studios to invest in innovation that is essential for it to keep up with this pace of change and sustain its status as the global gaming services market leader,” EQT stated.
Shares in Keywords rose 2.76% on Wednesday morning to 2,382 pence, up from 2,318 pence at Tuesday’s close.
Keywords Studios EQT’s £2.1B Takeover Offer : Industry Insights
Russ Mould, investment director at AJ Bell, remarked on Keywords’ successful run on AIM, where it was valued at £49 million upon its 2013 IPO. “At its peak in 2021, Keywords was valued at £2.5 billion. The gaming industry has faced challenges recently, leading to a significant share price drop in 2023. However, EQT has identified an opportunity to acquire a comprehensive entity at a slight discount.”
Regulatory and Shareholder Approval
The transaction will proceed under a scheme of arrangement under the Companies Act 2006, requiring 75% shareholder approval at a general and court meeting. Keywords’ board, deeming the terms “fair and reasonable,” intends to “unanimously recommend” shareholder approval.
