Industry giant Take-Two has reached a deal to buy Codemasters and their assets. With the sale finalizing in early 2021.
The news was confirmed earlier today in a note to Take-Two’s investors. Take-Two and Codemasters have been in talks for some months about a potential sale.
They settled on a figure of $980. But as Codemasters is a UK based developer, the deal will cost Take-Two £750million in sterling/UK pounds.
Take-Two will absorb Codemasters under the umbrella of their 2K brand, allowing the company’s staff to join that division. Although, now they will be under Take-Two’s senior management structure.
We expect the Codemasters team will have a lot of autonomy. Take-Two has made it clear that they have acquired the smaller company for their assets and their talent.
The deal will allow Take-Two to boost its sports game portfolio, especially around racing games. Something the Codemaster’s team have an exceptional level of experience developing.
Codemasters is the studio responsible for the Dirt series, Grid, and OnRush. They also own Slightly Mad, the developer behind the Project Cars games. These will also now belong to Take-Two.
What Do Take-Two Say About The Deal?
Take-Two boss Strauss Zelnick commented on the acquisition. Saying, “We are exceedingly pleased to announce this recommended transaction with the Board of Codemasters.”
“Codemasters has a renowned history of creating some of our industry’s most beloved and commercially successful racing franchises. We believe that their offerings will be highly complementary to our sports portfolio and enhance further our organization’s long-term growth.”
He went on to say, “Moreover, we look forward to welcoming Codemasters’ senior management and development teams into our Take-Two family and sharing in our vision to deliver the highest quality entertainment experiences. And aim to be the most innovative, creative and efficient company in our industry.”
Codemaster's Comments On The Merger
Gerhard Florin, who’s the Codemasters chairman, also welcomed the deal. He said, “With a leading position in sports gaming, the Board of Codemasters firmly believes the Company will benefit from Take-Two’s broad capabilities which will help propel the long-term success of Codemasters.”
Along with, “In recommending this Offer to shareholders, the Board of Codemasters believes it is in the best interests of all stakeholders in the Company."
"Take-Two’s offer reflects the great work the management team has done since listing on AIM in 2018 at 200p and delivers an excellent return for shareholders in just two and a half years.”
Check out Dirt running in stunning 4K here!