Multi-and unidirectional impact forgings were successfully applied to a (GW94) Mg-RE alloy. The microstructure and texture evolution were investigated systematically. The obtained results indicated that during unidirectional impact forging, a bimodal chain deform microstructure was sustained till last forging pass, whereas {10-12} extension twins-assisted continuous dynamic recrystallization took place during the multidirectional impact forging (MDIF). The coalescence and intersection of {10-12} extension twins during MDIF efficiently refined the original coarse grains and led to an almost recrystallized homogeneous microstructure. The texture analysis demonstrated that unidirectional impact forging yielded out the strong basal texture; however, MDIF resulted in non-basal texture, which was attributed to the cooperative effects of continuous DRX, twinning, and MDIF itself during the deformation process.