The announcement was made via a press release on Friday, November 6, and confirms that Take-Two has made a “possible offer” proposal to “acquire the entire issued share capital” of Codemasters, which has been valued at 739.2million pounds (US$973.01million), according to a Reuters report.
Per the press release, the offer pends the “completion of confirmatory due diligence and the recommendation of the Board of Codemasters”, and notes that “Take-Two reserves the right to waive any of these requirements”.
While the deal has not been confirmed yet, the Board of Codemasters are seemingly keen to “recommend unanimously that Codemasters’ shareholders accept the Possible Offer”. Take-Two, however, reiterated that “[while] discussions are ongoing, there can be no certainty that a firm offer will be made for Codemasters”.
The press release also states that in accordance with U.K.’s City Code on Takeovers and Mergers, Take-Two must either commit to making an offer, or announce its intentions to not make an offer, by December 4.
“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,” said Take-Two of the potential acquisition.
Take-Two Interactive currently owns major studios such as Rockstar Games (Grand Theft Auto V, Red Dead Redemption 2), and 2K Games (NBA 2K21, Mafia: Definitive Edition). Codemasters, on the other hand, focuses primarily on racing games, such as Dirt 5, F1, Project Cars and more.
Take-Two’s intention to acquire Codemasters follows the news of its subsidiary studio Rockstar Games purchasing and rebranding Crackdown 2 developer Ruffian Games in October.
In other major gaming acquisition news, it was reported in September that Microsoft is in the process of acquiring ZeniMax Media for $7.5billion, making it the largest gaming deal in history. Purchasing ZeniMax will give Microsoft control of studios such as Bethesda Softworks, id Software, and Arkane Studios.