The Chinese Room Announces Management Buyout, Gains Independence from Sumo Digital

The acclaimed British indie studio behind last year's oil rig horror hit, Still Wakes the Deep, has officially severed its ties with former parent company Sumo Digital.

A spokesperson for The Chinese Room, the studio also known for indie favorites Dear Esther and Everybody's Gone to the Rapture, has confirmed to IGN the completion of a management buyout.

This announcement comes after a period of uncertainty for the Brighton-based developer. Sumo Digital had previously stated it would refocus its efforts "exclusively on development services for partners," moving away from original IP development.

In a statement, The Chinese Room indicated it had become "increasingly likely" Sumo would sell the studio, potentially to a private equity firm or an overseas buyer. Sumo itself was acquired by Chinese tech giant Tencent in 2018.

Instead, a deal facilitated by venture capital firm Hiro Capital will see The Chinese Room operate as an independent entity under studio director Ed Daly.

"This management buyout allows us to pursue our creative passion for developing new, original intellectual property, and to selectively partner with other studios on projects that align with our vision," Daly stated. "This is our focus, and we're excited to continue on this path."

Following the launch of Still Wakes the Deep and its recent DLC, Siren's Rest, The Chinese Room has confirmed it currently has two new original IPs in development.

The studio's next major release, however, will be the long-awaited Vampire: The Masquerade - Bloodlines 2, scheduled for publication by Paradox Interactive this October.

"The Chinese Room is a major British success story, rightly celebrated as a unique creative force on the global stage," said Spike Laurie, a partner at Hiro Capital. "From employing British talent to creating games set in the UK, they are a leading creative studio. They are now back in control of their own destiny while retaining their British identity."

"We risk losing these creative gems to overseas corporations," Laurie continued. "That would be a terrible loss for the UK's $5.5 billion gaming industry, which enjoys a world-renowned reputation. We must nurture this homegrown talent and support it through challenging periods, as it represents one of our foremost creative exports."