Chicken Meat Supplier Buys Another Game Developer

The developer behind some Gears of War and Batman projects is now owned by a Chinese poultry company.

10 Comments

London-based game developer Splash Damage, which is perhaps best known for Enemy Territory: Quake Wars and Wolfenstein games, has been acquired by a Chinese company. No, not Tencent. Chicken meat products supplier Leyou has bought Splash Damage.

A statement from Leyou (via Eurogamer) explains that a "consideration" (a combination of shares and options), will be no more than $150 million. Leyou also acquires Splash Damage's Fireteam online service as part of the buyout, according to the terms of the agreement.

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Leyou said it's hoping to diversify its business as a result of its poultry efforts facing an "arduous task" in light of expenses related to feed-production and slaughtering, among other things. The video game market is growing, on the other hand, and this is why Leyou wants to get in.

"The global market for video games industry continued to experience healthy growth despite a slowing world economy," it said.

This is actually Leyou's second video game deal. In 2014, Leyou--known then as Sumpo--bought a controlling interest in Canadian developer Digital Extremes (Warframe).

Entering the video game mark helps Leyou mitigate the "volatile and cyclical nature of the poultry business," it said, while also increasing profitability. For the year ended December 31, 2015, 80 percent of Leyou's revenue came from its chicken business, but 70 percent of its gross profit was generated by its video game unit.

Some of Splash Damage's other projects have included Brink, Dirty Bomb, and Gears of War Ultimate Edition. The developer also made the multiplayer modes for Batman: Arkham Origins and the upcoming Gears of War 4. The studio was founded in 2001.

We have contacted Splash Damage to get more details on the acquisition and what it might mean for the future of the company. We'll report back with anything we hear.

Got a news tip or want to contact us directly? Email news@gamespot.com

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Avatar image for fuchikoma
fuchikoma

Leyou also bought SNK a year ago. I know the idea of a random chicken company starting to buy up game studios makes for a funny narrative... but they've been invested in gaming for a while now and this is just shoddy internet journalism.

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ChillBoulevard

ATTENTION!
Splash Chicken and Digital Chicken Sale!
-Gears of Chicken - $7
-Chickenframe - FREE *Pay $7 to get Chicken Prime, a new Chickenframe
-Dirty Chicken - $1
-Chickenman: Poultry Origins - $2
*Get a chance to slaughter some Chinese guy's chicken for every valid purchase! Promo ends when our CEO (which is a chicken) finally gets a grip of reality.

Avatar image for so_hai
so_hai

Must be doing pretty well with chicken meat if you're buying other companies on the side. You don't see this happening in reverse.

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FallenOneX

Will they trademark the phrase "Running around like developer with their head cut off"?

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megakoresh

Day 399: Still no chicken available in Warframe's cash shop. The grinders are getting desperate. Many have not eaten for a week, for they don't know how to operate with real money. All pleas to Leyou were left unanswered, as the chicken giant faces an inner turmoil. As has been prophesied in the ancient times of the Beatles and Rock'n'Roll, the two greatest forces of chaos and order, embodied in the industires of videogames and chicken production shall merge to plunge the world into darkness. From this void only one supreme entity can save us: half-game, half-chicken...

Operation Hen: The Eggoning. Available on PC and Consoles on 11.11.2111

Avatar image for louixiii
LouiXIII

Buy a game and get a bucket of RAW CHICKEN on the house. It's a part of our "I REALLY NEED TO TAKE A CHIC" promotion lol

Supplies are limited so call now...now...now...now

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MILK

Splash Damage's next game to be a VR game where you eat mcnuggets?

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MuffintopX

Gears of Mao

Avatar image for xblackdivine
xblackdivine

STOP the china from invading game industry too...they will dictate their weird political views with these studios.they are not friendly they are not welcome....i do not like china and its people.they are not trust and honest.game is something holy and pure to me,they want to corrupt it,,,,its bad
^__^

Avatar image for Stedmister
Stedmister

Smart move, kinda weird that a food supplier would do this, but I see their point, and it is a great move for them. Sad all the little indie studios get taken over, but such is life.