Atari said it had "received a letter from Infogrames Entertainment SA, Atari Inc's major share holder regarding iESA's non-binding expression of intent to acquire outstanding common stock" in the firm.
Infogrames said it would pay owners of the remaining stock a $0.02 premium on the price it closed at on NASDAQ, $1.66.
Although not guaranteed - the move needs the approval of the Atari board - the move would effectively turn the subsidiary private and makes good on new Infogrames CEO David Gardner's promise to 'reboot' the firm and the Atari brand, as revealed by MCV a few weeks ago. Gardner told us that the situation with the US office was 'not ideal' - buying the firm up to bring it under Infogrames' remit seems to be the solution.
Infogrames continues to grab headlines of late - it recently tempted former SCE worldwide studios figurehead Phil Harrison to join Gardner as president and help transform the company.