Codemasters was about to finalize an agreement with Take-Two Interactive, responsible for games like Grand Theft Auto.
Electronic Arts confirmed that it plans to buy British game producer Codemasters in an estimated $ 1.2 billion deal. The counter offer was made this weekend, while Take-Two’s proposal had been submitted in November, resulting in a $ 973 million deal, the payment of which would be split between cash and shares.
This would not have pleased Codemasters investors very much, since the payment in shares would mean that the value would depend on market fluctuations.
With EA’s offer, Codemasters’ senior management team would remain with the company during the transition period. The agreement is expected to be finalized in March 2021. According to the BBC, the company’s president, Gerhard Florin, said the company would “benefit from EA’s knowledge, resources and extensive global scale – both generally and specifically within the racing sector ”.
Founded in 1986 by brothers David and Richard Darling, Codemasters was famous for its racing games, such as Dirt Rally and the F1 franchise. Although EA confirmed the deal, it does not mean that it is fully closed.
Take-Two can still make a counterproposal, although this can be difficult considering that the company’s market value is almost half that of EA, valued at $ 40 billion.
Producer of the FIFA series and other sports and simulation games will acquire British developer with outstanding performance with games in the auto industry, such as Formula 1 and Project CARS
According to the deal, EA will pay the equivalent of £ 6.04 (R $ 41.20) for each Codemasters common share. After the announcement, the British developer’s shares on the London Stock Exchange rose more than 20% on Monday, reaching a value of £ 655 (R $ 4,500) each.
We believe there is a deeply compelling opportunity to bring Codemasters and Electronic Arts together to create incredible and innovative new racing games for fans. Our industry is growing, the motorsport category is growing, and together we will be positioned to lead a new era of racing entertainment – declared EA CEO Andrew Wilson.
In racing games, EA’s main franchise is Need for Speed. With the F1 series in hand, the company will also be able to enter the competitive virtual motorsport. Codemasters and Formula 1 have promoted the F1 Esports Series since 2017, with participation from the teams of the category, such as Ferrari, Mercedes and McLaren, and the face-to-face finals having been played in London, England.