Take-Two are in talks with Codemasters over a potential buy out, which would see the UK based developer and publisher that’s best known for its Dirt and F1 racing games joining the likes of 2K Games, Private Division and Rockstar under its banner.
Codemasters have received a conditional offer for the company that, if it becomes formal, the board would unanimously recommend to its shareholders that they accept. Per the BBC, Take-Two have offered £739m ($973m), which equates to £1.20 in cash and £3.65 in Take-Two shares for every Codemasters share.
Take-Two confirmed the offer to VGC with a statement that said it “believes that the combination of Take-Two and Codemasters would bring together two world-class interactive entertainment portfolios, with a highly complementary fit between 2K and Codemasters in the racing genre.”
“Take-Two believes that it can bring benefits to Codemasters performance by leveraging Take-Two global distribution and 2K’s core operating expertise in publishing, including, live operations, analytics, product development, and brand and performance marketing.”
It would be a sizeable acquisition for Take-Two’s portfolio, with Codemasters having expanded significantly over the last decade. Codemasters has really doubled down on its heritage for racing games (after some unsuccessful shooters blighted the middle of the PS3 and Xbox 360 generation) expanding by acquiring Slightly Mad Studios and Evolution Studios (now branded Codemasters Cheshire and on the cusp of releasing Dirt 5).
There’s been some definite ups and downs for the company over the last few years. The notable critical successes of Dirt Rally and its sequel, as well as the continued strength of the F1 games have been paired with confused indifference at Onrush and middling critical opinion for the revived Grid franchise.
Even so, there’s a bright looking future. The company also recently acquired the exclusive license to the World Rally Championship series, which will see them take on the WRC branding with a five year deal starting in 2023, and will go very nicely with the long-running F1 license that they hold.