Electronic Arts Outbids Take-Two Interactive for Developer Codemasters in $1.2 Billion Deal

Electronic Arts (NASDAQ: EA) has zoomed past rival Take-Two Interactive (NASDAQ: TTWO) to acquire U.K.-based video game developer and publisher Codemasters. On Monday, Electronic Arts and Codemasters both announced that the two companies agreed that the former will purchase the latter in a deal valued at $1.2 billion.

This will make it the largest acquisition in Electronic Arts' history.

Codemasters is currently traded on the London Stock Exchange. Its investors will receive a per-share payout of 604 pence, or just under $0.80, in the arrangement. U.K investors reacted to the news by trading that stock up to 656 pence (nearly $0.87), indicating a ringing endorsement of the agreement.

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Source Fool.com