It has been confirmed that Japanese publisher Square Enix has made a firm offer for Britsoft rival Eidos, estimated to be around £84mn – a total that represents a 129 per cent premium on Eidos’ current market value.

Square Enix believes that the acquisition represents “a highly attractive opportunity for the Square Enix group to create further value” for its shareholders.

The deal will see the likes of Tomb Raider and Kane & Lynch, two heavily westernised franchises, join Square Enix’s Japan-centric stable of properties such as Final Fantasy and Dragon Quest.

Though not yet approved, Eidos directors will be recommending that shareholders accept the offer.
Square Enix president Yoichi Wada said of the move: “Eidos is a talented developer and publisher of interactive entertainment products with a broad portfolio of highly successful mass market franchises, led by Tomb Raider, one of the most successful videogame franchises of all time.

“Eidos maintains a strong reputation for high quality development and proven expertise in creating characters and storylines that appeal to consumers. Eidos’ products are highly complementary to our business and will accelerate our aggressive expansion into Western markets. We believe that wide range of both companies’ quality products encompassing major genres will enable us to meet diversified customers’ expectations upon a global basis.”

Eidos chairman Tim Ryan added: “We believe that this cash offer provides Eidos Shareholders with an attractive price and certainty in today’s challenging market backdrop and economic outlook.

“The acquisition of Eidos will complement Square Enix’s expansion into Western markets and offers mutually beneficial opportunities for the combined group. The Board believes that this offer is in the best interests of the shareholders.”