Take-Two Interactive is acquiring Codemasters, deal to be completed in 2021

DiRT 5 Source: Codemasters

What you need to know

Take-Two Interactive is a major publisher of titles like 2K Games and Rockstar Games.
Codemasters is a U.K. developer and publisher known for racing titles like the Dirt franchise.
Take-Two Interactive is looking to acquire Codemasters for $973 million.
A full offer has to be made by December 4, 2020.

Update, November 10, 2020 (9:12 a.m ET): The deal has been agreed upon, for a total value of $994 milllion in both cash and Take-Two Interactive stock. The deal will close sometime in 2021.

Codemasters is one of the oldest U.K. game developers and publishers, first founded in 1986. Now, it appears that publisher Take-Two Interactive is looking to acquire Codemasters for $973 million. The press release notes that Take-Two Interactive would be paying roughly $1.58 per share in cash, with an additional rough $4.82 per share in Take-Two stock.

Take-Two has until December 4, 2020 at 12:00 p.m. ET to finalize the offer and terms. Take-Two's latest financials indicate the company is expecting to make $3 billion by the end of the year. Earlier in 2020, Take-Two confirmed that it had acquired Scottish developer Ruffian Games, which has been renamed Rockstar Dundee and integrated into Rockstar Games.

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With the Rockstar Games, Private Division and 2K Games divisions under Take-Two, the publisher is clearly looking to step into the world of racing titles with the possible acquisition of Codemasters. Codemasters has hundreds of staff and has worked on major racing franchises like Dirt and F1, with the upcoming Dirt 5 a launch title for the Xbox Series X, Xbox Series S and PS5.

Update, November 10, 2020 (9:12 a.m ET) — Deal agreed upon

Take Two Interactive and Codemasters came to an agreement for a deal worth $994 million in both cash and Take-Two stock. Take-Two Interactive will be acquiring Codemasters, with the deal closing sometime in 2021.

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