Update 11/10/2020: Take-Two has announced that it’s reached an agreement to acquire Codemasters in a cash-and-shares deal, valuing the UK developer/publisher at $994 million (£759 million). The acquisition is expected to complete in Q1 2021.
In a statement, Take-Two CEO Strauss Zelnick explained why the acquisition fit: “Codemasters has a renowned history of creating some of our industry’s most beloved and commercially successful racing franchises, and we believe that their offerings will be highly complementary to our sports portfolio and enhance further our organization’s long-term growth.”
Codemasters includes not just the development studio, but its publishing arm. Codemasters itself acquired Project Cars developer Slightly Mad last year.
Take-Two Interactive, is currently in talks to acquire Codemasters, the developers behind the Dirt, F1, and Project Cars racing franchises. If the deal goes through, Take-Two will add Codemasters to its roster of developers which includes Rockstar, 2K, Private Division, and more.
In a press release, Take-Two announced their intentions to acquire the entire share capital of Codemasters. According to the press release, the Board of Codemasters intends to recommend to shareholders to accept Take-Two’s offer.
“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,” Take-Two stated.
“In addition, Take-Two believes that it can bring benefits to Codemasters’ performance by leveraging Take-Two’s global distribution network and 2K’s core operating expertise in publishing, including live operations, analytics, product development, and brand and performance marketing.”
Take-Two currently owns several major properties such as Rockstar’s Grand Theft Auto and Red Dead Redemption. They also own 2K, makers of the popular NBA 2K, PGA Tour, and Mafia franchises among others. Take-Two has also made ventures into smaller (or at least less massive) labels like Private Division, which published Obsidian’s The Outer Worlds and the Kerbal Space Program franchise.
Projects currently in development at Take-Two’s various outfits include GTA 5 for PS5 and Xbox Series X, as well as a new BioShock game developed by the newly formed Cloud Chamber.
The deal is still tentative, pending due diligence checking.
Codemasters also recently published the Fast & the Furious Crossroads game.