MediaTechDeals

The $1.27 billion sale of Sumo Digital to Chinese tech giant Tencent has been approved by the High Court.

The Sheffield developer, owner of the Sackboy franchise, said chairman Ian Livingstone and non-executive directors Michael Sherwin and Andrea Dunstan have resigned as directors as shares on the London Stock Exchange’s AIM market were cancelled .

The deal, announced last summer, was further delayed in November as it needed approval from the Committee on Foreign Investment in the United States as one of Sumo’s portfolio companies, Pipeworks, is headquartered in Oregon.

The committee, which investigated potential risks against US national security, approved the deal late last year and the High Court sanctioned it on January 13th.

Sumo is now owned by Tencent subsidiary Sixjoy Hong Kong Limited, also known as Tencent Bidco.

Sumo has a portfolio of smaller studios and other creative businesses following an acquisition spree in recent years.

Startups must remember that cash is king