Nordic development and publishing group Thunderful has fully acquired Shadow Point and Phogs! developer Coatsink Software for an initial £23 million ($29.8 million).
The deal will see Thunderful pay an initial £11.5 million ($14.9 million) in cash and £11.5 million ($14.9 million) in newly issued ordinary shares for the UK studio, which is currently working on five in-house projects including Jurassic World Aftermath and Transformers Battlegrounds along with several work-for-hire projects.
An earn-out consideration worth £42.5 million ($55.1 million) will also be paid out if Coatsink exceeds its financial targets for 2021 and 2022, taking the potential value of the acquisition to £65.5 million ($85 million).
Thunderful, which owns other studios and publishers including Rising Star Games, Image & Form, and Zoink, said the deal will further bolster its games business.
"The acquisition is in line with Thunderful’s strategy to expand its Games segment by adding attractive platform partnerships and publishing deals," reads a press release. "The acquisition will allow both companies to accelerate and strengthen ongoing and future development projects."
Coatsink will remain an independent developer under the Thundeful umbrella, and will be reported as part of Thunderful Games moving forward.