Game developer Wushu has been acquired by Keywords

Game service provider Keywords has confirmed in a press release that it has acquired Liverpool-based games company Wushu, only a short while after it laid off a handful of workers at one of its other developers, Lively Studios.

Wushu, established in 2017, was originally meant to produce its own titles but has been operating on a work-for-hire model, having contributed to massive hits such as Fall Guys and Baldur's Gate 3.

Bought by Keywords because of its steady growth despite market fluctuations and to improve their production capabilities, Wushu will no doubt now work more closely with the provider's portfolio of companies, although it's likely they will still operate under their current model.

Keywords CEO Bertrand Bodson said: "The acquisition aligns with our strategy to build out our game development offer globally. We now have two studios in Liverpool which is a key regional hub for talent in the UK", so it's good to see the industry investing in talent in the area.

Bodson continued in the release: "Wushu's highly skilled team, strong relationships and opportunities for growth will be important assets that complement our existing Create studios as we continue to enhance our offering to our global client base. We look forward to working with Alan and the talented team over the coming years to support and drive growth in the business."

Wushu founder Alan McDermott, who will be staying at its helm with the current management team despite the acquisition, said it's an "exciting new chapter" for them, and won't compromise their freedom as creators.

McDermott said that the acquisition "allows us to further enhance the services we offer our long-term clients with an extensive resource network and broad skill sets.

"Keywords shares our ambitions for continued growth, and their investment in Wushu will help us continue to remain faithful to our people-first approach to development. We look forward to collaborating with the broader Keywords network and taking on ever more ambitious projects in the future" (thanks, Game Developer).