British games developer Sumo Digital has set course for an initial public offering, with a $194m valuation.

That's according to Reuters, which reports that placing of ordinary shares has raised in the region of $51.4m, with a further $53m raised for selling shareholders. The firm will be listed this Wednesday on London's junior market. 

Private equity firm Perwyn LLP will retain a 43 per cent stake in the developer.

That Sumo was headed towards an IPO was reported on October of this year, with rumours that it had its heart set on a $200m valuation.

Founded in 2003, Sumo has been a work-for-hire developer for the bulk of its lifetime. The firm has been trusted with IP such as Disney Infinity, Crackdown and Dead Island, but this year has also started to work on its own IP in Snake Pass.

Sumo isn't the only UK development firm preparing for an IPO, with rumours that racing specialist Codemasters is also setting course in this direction. Reports point to a $133m valuation for that studio.