Global video games developer Team17 announces two acquisitions

The Wakefield-based firm, best known for the Worms video game franchise, is buying The Label, an American publisher specialising in mobile subscription games for £18m, with an additional earn out consideration of up to £12m over the next three years.

It is also buying WW2 military simulation game Hell Let Loose for an initial consideration of £31m, plus a contingent earn out consideration of up to £15m.

Michael Pattison, CEO at Team17 Games Label, said: "We are delighted to be announcing the acquisition of the Hell Let Loose IP.

Team17 is best known for the Worms video game franchise

"Hell Let Loose has quickly become a highly credible and innovative multiplayer tactical first-person shooter supported by a very passionate and highly engaged community with over six million players.

"Having built a close and extremely productive relationship with Black Matter already, we believe that by bringing Hell Let Loose into the Team17 stable, we can serve and build upon the needs of an ever-growing community, improve and expand upon the existing player experience and develop new ways to entertain and delight.

"We firmly believe Hell Let Loose can become the definitive large-scale team-based military simulation.

"This acquisition represents an important next step in our strategy to expand our ownership of IP that is not only of the highest quality, but importantly has long-term growth potential."

Team17 also said that it traded above expectations in the second half of 2021, completing a solid performance.

Debbie Bestwick, CEO of Team17, said: "We are pleased with the 2021 performance, in which we continued to execute on our highly ambitious pipeline alongside completing the acquisition of StoryToys.

"Bringing StoryToys into the Team17 family sees us align our growth ambitions with their hugely talented team and is a clear marker for our future growth strategy.

"In addition, we are delighted with the acquisitions announced this morning. These further support our content and people growth plans. We look forward to working with them as part of our growing Team17 Group in 2022."