Access to a market of 1.4 billion people and $73 million in cash are driving growth at Digital Extremes, London’s biggest gaming business.

The maker of Warframeand theBioshockseries of games has been sold to a Chinese holding company looking to diversify into technology, Digital Extremes president Michael Schmalz said Wednesday.

But this isn’t a takeover story of cuts and layoffs, he said.

The buy will give Digital Extremes greater access to the Chinese market, which is embracing gaming.

“This investment is allowing the company to grow, to compete at a higher level in the industry and be a major player in the ­global market with added expertise and access,” Schmalz said.

“This gives us stability, ­confidence and the ability to be innovative.”

Proof of that is evident at the company’s CitiPlaza office, where more than 30 new employees recently have been hired. That boosts employment to 200 and it’s looking for 24 new hires.

The company also is expanding its 35,000-sq.-ft. space by about one-third, to be ready by mid-December.

That the company was bought by a food business is good for London, said Kapil Lakhotia, manager of the London Economic Development Corp.

“It’s a holding company. From a financial standpoint they are not in the game sector. This is an investment,” said Lakhotia. “This will lead to positive things in London, the ability to hire and add programs.”

As an independent game maker, Digital Extremes wants to grow into the Asian market, not only because of that market’s size, but because the company can have creative control over the games it develops. That’s in contrast to the “blockbuster” mentality in North America, where video games Call of Duty and Halo, for example, are made by many different studios.

“We don’t want to work on little parts of games. We want to make our own games,” and this will allow us to do that, Schmalz said.

The company’s games are sold online, but will be offered as ­console games in China, he added.

Multi Dynamic, owned by Sumpo Food Holdings in Hong Kong, has bought 61% of the business and Schmalz and his two partners will keep 39% and ­continue running the business.

“They wanted to diversify. They want to bring in technology businesses and we are the first,” Schmalz of the new owners.

“It is huge. The numbers they have are huge,” Schmalz said of the market. “It is as though China is one market and there is the rest of the world.”

Besides Warframe, played by 7.8 million gamers globally, Digital Extremes makes Unreal Tournament, and the series Dark Sector and Homefront, to name a few.

“Our mission is still incomplete — there are still things we want to do,” Schmalz said.

norman.debono@sunmedia.ca

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DIGITAL EXTREMES