Take-Two Interactive has acquired Codemasters, the British video game developer and publisher, for $994 million. The deal strengthens Take-Two’s position in the growing racing game market and expands its global footprint. The acquisition comes after Take-Two outbid rival Electronic Arts (EA), which initially offered $1.2 billion for Codemasters. The acquisition is expected to have a significant impact on the global gaming industry, particularly in the racing game market, and provide an important foothold for Take-Two in the European market, where Codemasters is based. The deal is expected to be completed in early 2021.
Take-Two Interactive acquires Codemasters for $994 million
Introduction
Take-Two Interactive, a leading American video game holding company, has announced that it will acquire Codemasters, a British video game developer and publisher, for $994 million. The acquisition is expected to strengthen Take-Two’s position in the growing racing game market and increase the company’s global footprint.
The Details
The deal comes after Take-Two Interactive outbid rival publisher Electronic Arts (EA) in a months-long bidding war. Electronic Arts initially offered $1.2 billion for the acquisition, but Take-Two’s final offer of $994 million was enough to secure the deal.
Codemasters is known for its popular racing games, including the Formula One series and the Dirt series. Take-Two Interactive has also recently seen success with its own racing games, including the recent release of NBA 2K21.
The Impact
The acquisition is expected to have a significant impact on the global gaming industry, particularly in the racing game market. Take-Two Interactive’s acquisition of Codemasters will provide a strong foundation for the company to expand its offerings and reach new audiences.
The deal will also provide an important foothold for Take-Two Interactive in the European market, where Codemasters is based.
Take-Two Interactive CEO Strauss Zelnick commented on the acquisition, saying, “We believe that Codemasters’ creative talent, leadership, and expertise in the racing genre will be highly complementary to our existing portfolio and long-term growth prospects.”
Conclusion
The acquisition of Codemasters by Take-Two Interactive is set to shake up the gaming industry, particularly the racing game market. With this move, Take-Two Interactive will gain a valuable foothold in the European market and build upon its success in the gaming industry. The acquisition is expected to be completed in early 2021 and will undoubtedly have a significant impact on the future of video games.