Epic Games has announced its acquisition of Utah-based development studio, Chair Entertainment, with the studio becoming a wholly owned subsidiary of Epic Games. Chair Entertainment will continue to operate under the same name and maintain its focus on creating new original game properties using the Unreal Engine technology.

"Chair's stylized approach to creating games is further enhanced by their ability to stretch our technology in new directions that not only help in creating amazing gaming experiences but also demonstrate the power and versatility of the Unreal Engine," said Mark Rein, vice president of Epic Games. "We are thrilled to bring the Chair team into the Epic family, and look forward to working with them to create original new games that continue to innovate and inspire."

Ryan Holmes, Co-Founder and CEO of Chair Entertainment Group added: "We share Epic's passion for creating ground-breaking game play experiences and are excited for the opportunity to partner with a truly visionary company."

Chair Entertainment was founded in 2005 and is led by directors Donald and Geremy Mustard, and CEO Ryan Holmes. The studio is best known for its Xbox Live Arcade title, Undertow.