FRISCO, Texas — This story was originally published by our content partners at the Dallas Business Journal. Read it here.
Gearbox Entertainment Company, Frisco-based developer of well-known video games such as the "Borderlands" series, is set to become part of industry giant Take-Two Interactive Software Inc.
New York City-based Take-Two said March 28 it would pay $460 million in stock for Gearbox.
That would represent a significant drop from 2021, when Swedish video game company Embracer Group AB agreed to buy Gearbox for up to $1.3 billion.
As part of the deal, Gearbox owners will be issued new shares of Take-Two (Nasdaq: TTWO) common stock.
Take-Two expects the deal to close during the first quarter of its 2025 fiscal year — so by June 30, pending regulatory approval and other closing conditions.
Take-Two said it will acquire Gearbox's portfolio and intellectual property while hinting at new games under development — with "six key interactive entertainment projects in various stages of development," including sequels in the marquee "Borderlands" and "Homeworld" series.
Leaders at Take-Two believe "there are incremental opportunities to invest in new projects and to expand Gearbox’s proven franchises," according to the announcement.
Gearbox will operate as a studio within Take-Two's 2K publishing label. Randy Pitchford, founder and CEO of Gearbox, will remain at its head. In addition to its Frisco HQ, Gearbox operates studios in Montreal and Quebec City, Canada.
Founded in 1999, Gearbox is also creator and distributor of game franchises such as "Duke Nukem," "Brothers in Arms" and "Tiny Tina's Wonderlands."
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