Modern Times Group has acquired mobile games developer and publisher Hutch in a deal worth up to $375 million.

As per the agreement, there will be an upfront cash sum of $275 million, while the remaining $100 million will come in the form of earn-out payments.

Furthermore, the acquisition has been made through MTG's new holding company GamingGo, which was announced yesterday alongside increased investment in German games dev Innogames.

"We are excited to join MTG – in them, we have found a home that believes in our values, supports us in our mission and can help take our company and our games to the next level," said Hitch CEO and co-founder Shaun Rutland.

"When we founded Hutch, we wanted to create a world-class working environment and an empowered team dedicated to growing the racing genre on mobile. We made every member of the team a shareholder to recognize the value of their efforts, so this is an important day for all of us."

Round the track

Through its purchase of Hutch, MTG will now own the various racing IPs associated with the free-to-play driving specialist – F1 Manager, Top Drives and Rebel Racing. Moreover, over 100 staff members of the developer will now work for MTG.

"Hutch is a true front-runner, responsible for some of the most successful titles in the fast-growing mobile racing category and spearheaded by an exceptionally strong and highly-experienced team. We are thrilled to welcome Hutch to MTG, both as a stellar company in its own right, and as the first investment made by our new gaming holding company," said MTG CEO Maria Redin.

"Hutch has fantastic gaming IPs with strong growth potential – this acquisition strengthens our position in the midcore segment and diversifies our gaming portfolio, which already includes leading strategy and city builder games developer InnoGames and Kongregate, a leader in the idle gaming category."