Tencent sells Battalion maker Bulkhead to newly-formed consortium backed by Team 17 owner

Chinese tech and entertainment giant Tencent has sold UK developer Bulkhead to a newly-formed consortium comprised of Super Media Group (SMG), Team 17 parent Everplay Group PLC and Hiro Capital. The studio was acquired by Splash Damage in 2022, which itself was owned by Tencent, though has since been sold to private equity.

Bulkhead is best known for its FPS releases, chiefly the military first-person shooter, Battalion 1944. The studio is currently working on a new IP, Wardogs, which is set to be published by Team17. The game is set for a 2026 Early Access launch on PC, before coming to other platforms the following year.

SMG, per Companies House, was founded in October and has Bulkhead CEO Joe Brammer, CTO Kevin Chandler and CFO Mark Pinney as its directors. Meanwhile, Everplay – formerly Team17 Group – has announced separately that it has acquired a 20% stake in Super Media Group, worth £2 million. Hiro Capital has a minority stake, but how much of the studio it owns has not been disclosed and the firm declined to comment when asked.

Super Media Group is also “exploring” the possibility of co-developing future entries in Team17’s Hell Let Loose franchise.

“We’re really excited about this partnership and our future collaboration on the Hell Let Loose franchise, as well as Wardogs entering early access next year,” Bulkhead’s Brammer said.

“Most importantly, we’re proud to be keeping all of our team members on board as we move forward.”

Everplay interim executive chair Frank Sagnier added: “This partnership reinforces Everplay’s existing strong position within the FPS genre. Collaborating with the exceptional Bulkhead team secures incredible new game content, while our equity stake in SMG speaks to our commitment to a long-term relationship with the studio, the FPS genre and the Hell Let Loose franchise. The transaction is fully aligned with our focus on growing first-party IP revenues and disciplined capital deployment, while providing a highly attractive return on investment.”

Bulkhead was acquired for an undisclosed sum in 2022 by fellow UK developer Splash Damage. At the time, the studios were both working on licenced title Transfomers: Reactivate, though this game was ultimately cancelled and a number of roles at the studio were put at risk of redundancy. Bulkhead laid off some staff in July.

Splash Damage separated from Tencent in September, when the company was acquired by a still-unknown group of private equity investors. Since then, the entire studio has been put on consultation ahead of redundancies.