What simply occurred? Take-Two Interactive has agreed to buy Gearbox Entertainment from the Embracer Group for $460 million. The deal contains the total rights to a number of Gearbox franchises together with Borderlands, Tiny Tina’s Wonderlands, Risk of Rain, Homeworld, Duke Nukem, and Brothers in Arms.

Take-Two mentioned Gearbox at the moment has half a dozen tasks in varied levels of improvement together with 5 sequels (two of that are from Borderlands and Homeworld) and one title primarily based on solely new IP.

Per the settlement, Embracer Group will retain Gearbox Publishing (which can be renamed) and the publishing rights to the Remnant franchise, Hyper Light Breaker, and others, in addition to Lost Boys Interactive, Captured Dimensions, and Cryptic Studios (together with Neverwinter Online and Star Trek Online).

Gearbox will slot into Take-Two’s 2K division, and be led by Gearbox co-founder Randy Pitchford and his crew. Pitchford mentioned he’s enthusiastic about what the 2 can accomplish collectively “now that we’re absolutely aligned as one.”

Pitchford, considered one of 5 co-founders, helped begin Gearbox in 1999 and served as president and CEO. The studio helped create a number of video games within the Half-Life franchise and purchased the rights to Duke Nukem in 2010, however is arguably finest identified for its unique franchises, Brothers in Arms and Borderlands.

David Ismailer, president of 2K, confirmed {that a} new set up within the Borderland sequence is in lively improvement.

Take-Two mentioned the acquisition can be funded solely by newly issued shares of frequent inventory. To decide what number of shares to mint, the corporate will divide the acquisition worth by the typical closing worth per share within the 5 days main as much as the deal’s closing.

Embracer Group plans to make use of the sale to scale back web debt, decrease money earnout obligations, and minimize down on capital expenditures.

Gearbox and Take-Two have a longstanding working relationship. Take-Two has revealed a number of Gearbox titles over time, relationship again to the primary Borderlands recreation in 2009 and together with Duke Nukem Forever in 2011.

The deal is anticipated to shut by the tip of June, pending customary regulatory approval.

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