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Eidos likely to be acquired by Time Warner

by on16 December 2008

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Just purchased 10 million more shares of the company

Our sources has been telling us for the past couple of weeks that Eidos has been quietly making the rounds shopping the company to see who is interested and what their level of interest is. Word reached us today that Time Warner has purchased 10 million more shares of the company and now owns a 19 percent position in Eidos, which increases the likelihood that at some point they will acquire the entire company.

We have hesitated saying anything about Time Warner’s interest in Eidos, as it was thought that Square Enix was also interested in at least some of the Eidos IP, including Tomb Raider and Hitman franchises. The writing has been on the wall, however, as Eidos signed a very good licensing deal with Time Warner back in 2006 which gave the company access to some of its best properties.

According to reports, Eidos recently amended a “stand still” agreement to allow Time Warner to acquire up 30% of the total Eidos stock. With the agreement being amended and the fact that Time Warner has purchased another 10 million shares, we have to think it is likely that if Time Warner does not acquire the company outright, they will at least work toward having a controlling interest in Eidos.

All in all, the news is good for Eidos, as it gives the company more cash to work with and continued funding, which is good news in the current business climate. Eidos does have what looks like to be a potential hit on its hands with Batman  Arkham Asylum, which has received much acclaim in early previews of the upcoming title.

Last modified on 16 December 2008
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