Peninsula-Based EA Strikes $1.2 Billion Deal

San Mateo CA

14 December, 2020

3:51 PM

Description

REDWOOD CITY, CA — A Redwood City-based gaming goliath has purchased an overseas developer, the company announced Monday. Electronic Arts said it is paying around $1.2 billion for UK-based racing game developer Codemasters. The deal is expected to close in the first quarter of next year, EA said in a news release. UBS Investment Bank is acting as financial adviser to EA, the company said. The deal positions EA to tap into the growing racing genre, EA CEO Andrew Wilson said in a statement. "We believe there is a deeply compelling opportunity in bringing together Codemasters and Electronic Arts to create amazing and innovative new racing games for fans," Wilson said. "Our industry is growing, the racing category is growing, and together we will be positioned to lead in a new era of racing entertainment. "We have admired Codemasters' creative talent and high-quality games for many years. With the full leverage of EA's technology, platform expertise, and global reach, this combination will allow us to grow our existing franchises and deliver more industry-defining racing experiences to a global fan base. We are pleased that both our Boards of Directors are recommending this transaction, and we look forward to welcoming such an exciting and talented team to the Electronic Arts family."