Mercenary III is set in the Gamma System again and is based on an improved version of the engine used by Damocles: this time the roads of the various cities are populated by vehicles such as taxis and buses; observation and attack spacecraft are present in the skies; and interaction (albeit to a limited degree) with other characters is possible.

The villain of this game is a character who appeared in Mercenary: PC BIL, short for the Palyars Commander's Brother-In-Law.

[2] Tim Boone for Computer and Video Games wrote: "A worthy successor which could have been another classic, Mercenary III offers a fantastic gamesplaying experience, but just pips itself at the Hit!

"[3] Karl Foster for Amiga Power said that "the best thing about Mercenary III is the fact that there are six ways to complete it, five of which are outlined in hint sheets included in the package [...] The sixth is left a mystery, to give you something to puzzle out".

[4] Maff Evans for Amiga Format wrote: "For those of you that haven't played any of the other games in the series, this then will make an excellent space adventure.