THQ Nordic has disclosed the act of acquiring Deep Silver parent company Koch Media. This move brings Deep Silver and its intellectual property like Saints Row, Dead Island, and Metro under THQ Nordic’s belt.
That’s right, THQ Nordic has acquired Koch Media, parent company of Metro and Saints Row publisher Deep Silver. This acquisition went down for €121 million, which THQ Nordic announced over on cision.com.
If you are curious as to what Deep Silver parent company is like, Koch Media, you can learn more about the company through the press release listed on the above link:
“Koch Media is a leading, independent producer and marketer of digital entertainment products in Europe and North America with studios in Germany, the UK, and the US, and offices in several Central and Northern European cities. Koch Media’s business consists of three business areas; 1) Games, which are mainly published under the Deep Silver label with several AAA-intellectual property rights such as Saints Row, Dead Island and Metro; 2) Partner Publishing, which is the leading company in this business area in Europe and 3) Film, which is a business within movies for primarily the German and Italian speaking territories. Koch Media generated net sales of approximately SEK 2,548 million and Adjusted EBIT of approximately SEK 296 million for the period April – December 2017.”
According to THQ Nordic CEO Lars Wingefors we learn through the press release that…
“Koch Media has a long history of profitability despite losses incurred from some less successful game releases. THQ Nordic is convinced that the development studios of Deep Silver as part of THQ Nordic will successfully deliver at least four ongoing AAA game projects including Metro Exodus as well as the next Volition Studio AAA release and the next Dambuster Studio AAA release, together with a number of other game development and publishing titles.”
We also learn a little bit more about this whole move through Koch Media CEO Dr. Klemens Kundraititz, who added:
“I strongly believe that THQ Nordic is a great strategic fit with Koch Media. In addition to having long experience within games development and publishing, THQ Nordic has the skills, willingness and capital to deliver growth in the future.”
Given that THQ Nordic has no plans on stopping with its acquisition operation we’ll likely see more companies fill up THQ Nordic’s portfolio just like Koch Media and Deep Silver, who will still operate as independent entities.
Lastly, THQ Nordic has over 20 unannounced games in development, and Koch Media has nine. There’s no telling what these games are at the moment but I’m sure fans will learn in due time. It’s interesting because before the original THQ filed for bankruptcy, their biggest undoing was attempting to court the casual market with Udraw, which ended up costing them $50 million and eventually leading to their closure. They only managed to stay afloat due to games like Saints Row being big sellers. I wonder if THQ Nordic will avoid that pitfall and only focus on hardcore games for the buyer’s market instead of chasing after casual consumers?
You can read more about THQ Nordic acquisition of Koch Media by hitting up cision.com.