Developer and publisher Jagex has announced the acquisition of us-based developer Pipeworks Studios. Pipeworks Studios is a highly established development studio comprising over 200 people based in Eugene, Oregon. This makes this acquisition the first-ever acquisition of an external studio by Jagex. The move reflects the publisher’s commitment to expanding its team of world-class talent as well as its growth in North America. Jagex is most known for its titles RuneScape and Old School RuneScape. Both of these are free-to-play MMORPGs.
Apart from these two mainstream titles, Jagex has released multiple casual games on its FunOrb Portal as well. The acquisition follows a strong growth period for Jagex where the company is establishing itself as a leader in community-driven games. Jagex has recorded five years of record games-as-a-service revenues, a series of third-party publishing deals and its highest ever RuneScape franchise membership. Jagex was earlier acquired by global investment firm Carlyle (NASDAQ: CG_ back in 2021 to support the growth strategy of the company along with M&A.
Phil Mansell, CEO of Jagex said:
We are delighted to welcome Pipeworks into the Jagex Family. Pipeworks presents an incredible opportunity to bring onboard world-class game development talent. The studio brings elite-level game development expertise, specifically in AAA games-as-a-service, with an exemplary track record of collaborations with the world’s best game creators. Lindsay (CEO of Pipeworks) and his team have been running a successful and profitable group for many years, and we look forward to working together to publish Pipeworks’ developed IP and accelerate its growth.
Lindsay Gupton, CEO of Pipeworks Studios commented:
This is an opportunity for us to level up once again because we each bring our own distinct experiences to the partnership. Jagex’s approach of providing a leading platform for developers to create lasting and content-rich community-driven games fully aligns with Pipeworks’ work-for-hire model and focus on building innovative games and technology.
Micheal Wand, Managing Director, and Co-Head of the Carlyle Europe Technology Partners advisory team detailed:
In January 2021, Carlyle acquired Jagex to support the next phase of the company’s growth, including maintaining a focus on its core RuneScape franchise while further diversifying the business and its portfolio. The acquisition of Pipeworks is in line with this strategy, and we are delighted to support Jagex with this transaction.
Developer Pipeworks was established back in 1999 and since then, the developer has built a reputation as a global force in gaming and advanced technology solutions for both established and emerging IPs. Pipeworks’ team of more than 200 employees has shipped over 125 games and is deeply embedded in key franchises for partners including EA Sports, Wizards of the Coast, Activision, Genvid, MetaTeq, and more. Some of the prominent titles that Pipeworks Studios have worked on in the past include Terraria, Prominence Poker, Zumba Fitness, Prince of Persia: Warrior Within, and Godzilla Unleashed among many others.
Details of the acquisition of Pipeworks Studios by Jagex were not disclosed at this point however Aream & Co. acted as Sumo Group’s exclusive financial advisor and Allen & Overy as its legal advisor and Linklaters as legal advisor to Jagex.
