On February 19, 2019, Meitu Investment Ltd., a wholly-owned subsidiary of Meitu, Inc. (HKG: 1357), entered into a conditional agreement for the acquisition from Dream Beyond Holdings Limited, a wholly-owned subsidiary of Leyou Technologies Holdings Limited (HKG: 1089), of a 31% equity interest in Dreamscape Horizon Limited (“DH”), for a total consideration of HK$2,686,577,470.
DH’s subsidiary Digital Extremes Ltd. out of Ontario (“DE Canada”) and its wholly owned subsidiary Digital Extremes US, Inc. are principally engaged in the development of video games for both PC and console platforms such as PS4, Xbox One and Nintendo Switch. Warframe, a game developed and published by DE Canada, is one of the 100 top-selling games of 2018 on Steam, the largest digital marketplace for PC games.
Meitu, Inc. was listed on the Hong Kong Stock Exchange on December 15, 2016 and, together with its subsidiaries, offers a portfolio of innovative photo and community apps that enjoy popularity in the People’s Republic of China and overseas.
Miller Thomson LLP advised the Meitu group of companies on the Canadian aspects of the acquisition with a team that included Andy Chan, Callum Campbell and Erin Elias (Corporate/M&A), Karen Durell (IP), Lisa Goodfellow and Greg Bush (Labour & Employment), Kim Ozubko (Pensions & Benefits), Ron Choudhury and Neil Gurmukh (Tax), Eric Dufour (Competition), Marco Maduri (Financial Services) and Kristen Vandenberg (Health).