Take-Two Planning To Acquire Codemasters
UPDATE: Take-Two Interactive are officially acquiring Codemasters, with the acquisition deal expected to be completed by March 31st, 2021.
According to a note to investors, the board of directors from each of the two companies have reached an agreement. The Grand Theft Auto and NBA 2K publisher using a mix of cash and shares to purchase all current and yet-to-be issued shares in Codemasters - giving Take-Two complete ownership of the UK racing publisher.
The acquisition is expected to value Codemasters at £726 million ($956 million), compared to the previously suggested value of the deal being at £759 million ($994 million).
Original Story: Take-Two Interactive, the parent company behind some of the biggest publishers such as Rockstar Games and 2K, are in talks to acquire UK publisher Codemasters, owners of racing game IPs such as DIRT, F1 and Project CARS.
In a press release released by Take-Two, the company confirmed acquisition talks have begun between Take-Two and Codemasters shareholders, who are currently negotiating offers.
“Take-Two believes that the combination of Take-Two and Codemasters would bring together two world-class interactive entertainment portfolios, with a highly complementary fit between Take-Two's 2K publishing label and Codemasters in the racing genre.”
In a tweet thread from Times UK Market Reporter, Tom Howard, Codemasters are asking for £740million from the Rockstar Games owner in order to sell. Howard stated that if Take-Two offers that amount to them, Codemasters will accept.
For context, if Codemasters were to be acquired by Take-Two Interactive, that would mean IP’s such DIRT, GRID, F1 and Project CARS would join Take-Two’s strong portfolio of IP - which already includes high caliber names including Grand Theft Auto, Red Dead, NBA 2K, Borderlands and Bioshock.
What this would mean for the future of Codemasters’ titles remains to be seen, with many worried publishing under Take-Two will result in an influx of predatory microtransactions already found in numerous titles, most notoriously being the NBA 2K franchise.
As of right now, the deal is still pending between the two publishers. We’ll be sure to keep you updated on any changes that may happen over the coming days/weeks.
[Source: Take-Two Interactive, Twitter, GamesIndustry.Biz]