Alpha Xu and Wong Kian Fong, co-founders of FlipScript, will continue to lead the business after the acquisiton by the privately-owned communications group.
Following the acquisition, Engine will now have four businesses in China: FlipScript (renamed to Deep Focus/FlipScript), Calling Brands, DNA and MHP Hong Kong (formerly The Consultancy).
Founded in 2008, FlipScript provides digital and social media solutions for many global brands operating in China, including Tourism Australia, Crocs, Starbucks, Moncler, New Balance, Bally and Kate Spade New York.
The agency employs 52 staff, mostly Chinese nationals, who will now work with more than 200 people in Engine's London, New York, St. Louis and Shanghai offices.
Engine derives over 60 per cent of its global revenue from digital services, and is ranked fourth largest digital agency in the UK. It recently appointed Alex Balfour, the former new media head for the London 2012 Olympic Games, as chief digital officer. Peter Scott, chief executive of Engine Group, revealed he is looking to "add additional international partners" in 2014.