Square Enix’s Eidos Bid Backed By Warner

16 Feb 2009 at 11:52:04 by

Warner Bros. has backed Square Enix’s bid to take over troubled British publisher, Eidos.

Although Warner Bros. holds a 20 per cent stake in Eidos, and has recently started a videogame development arm, the studio is set to vote in favour of the acquisition.

Warner Bros. has said that it’s behind the Japanese firm and that the company “irrevocably” agreed to support the bid.

This means that Square Enix now has a 35 per cent backing from shareholders which amount to 35 per cent of Eidos’s total stock and the final vote will be made by the Eidos board at the end of March.

Although this acquisition seems like a no-brainer, it could still fall through if another firm makes a better offer or if Square Enix doesn’t detail its plans for the take over.

With an offer estimated at £84m GBP, it’s unlikely Eidos will see a better offer, and with Square Enix fighting to break into the mainstream market in the West, it seems unlikely it’ll give up the bid without a fight if the worst did happen.

Comment