Games Workshop, the UK miniatures, books, games business behind the global Warhammer brand, is planning a production deal with Amazon.
The Nottingham-based fantasy games business said that it had “reached an agreement in principle” for Amazon to adapt its games into movies and TV programmes.
Games Workshop said Amazon is set to start talks with writers over the project, which will initially involve developing the Warhammer 40,000 universe. Warhammer 40,000 is a tabletop game based around “dark, futuristic warfare”.
The Hollywood Reporter said Henry Cavill is set to star in and executive produce the adaptation, just days after he confirmed he will not be returning to play Superman.
Last week Games Workshop announced anticipated half year revenues of £210 million, up from £191.5 million a year ago. It expected licensing revenues to be down from £20.1 million last year – when a number of big computer game licensing deals were signed – to £14 million.
It said core operating profit would be on a par with the second half of last year at no less than £70 million. It also said that under its profit share scheme, it would be paying a £1,500 bonus to each of its staff this month.
One market analyst said the Amazon tie-in could be a very big deal for Games Workshop.
Russ Mould, investment director at online share trader AJ Bell, said: “A lot of the excitement around the stock in recent years has been built around the licensing opportunities associated with Games Workshop’s intellectual property, which has a large and very loyal fanbase.
“Developing in this area has several upsides for Games Workshop. It generates extra revenue and cash flow for a relatively limited extra cost and, while Amazon will be granted the relevant merchandising rights, it could deepen fans connections with Games Workshop’s table-top gaming products and bring them to a wider audience.
“There have been modest efforts in the past to bring Games Workshop’s creations to the screen. Amazon’s deep pockets and its huge reach, more than 50 per cent of British households have an Amazon Prime account, puts this in a different stratosphere.
“The deal is not signed and sealed yet but, barring a last-minute hitch, this could be an extremely significant step in Games Workshop’s development.
“The big risk is that, by almost certainly surrendering any creative control, Games Workshop is at the mercy of Amazon making something which might alienate its existing followers.
“The mixed reaction of Tolkien fans to Amazon’s recent Lord of the Rings prequel is something to consider.”
