Consolidation has become a familiar playbook within the booming video game industry, but it’s easy to see why Dublin-based constituent Keywords Studios might end up being the last member standing on the UK exchange.
Acquisition activity by global entertainment giants and larger US players has centred around titles and intellectual property gathering, including former UK-listed players Sumo and Codemasters. Identifying an obvious suitor for video game services provider Keywords, which provides the picks and shovels for the industry, is less easy.
It is not as if performance or price would be deterrents for a buyer. Keywords might look pricey on the surface but based upon its own history, less so. An enterprise value of 20 times forecast earnings before interest, taxes, depreciation and amortisation is
