U.K.-based videogame publisher Eidos has agreed to be purchased by Square Enix for $120 million, per VARIETY. Eidos' biggest franchise is the TOMB RAIDER series.
Warner Bros. owns 20 percent of Eidos, and is now expected to lose about $93 million if the deal is approved by stockholders. The studio invested $30 million in Eidos last year in addition to the $87 million it put up in 2006. Square Enix plans to buy out WB for $24 million.
Warner Bros. also had the film rights to Eidos' games in North America, and recently picked up the TOMB RAIDER franchise as a potential re-boot with TERMINATOR SALVATION's Dan Lin to produce.
The offer values Eidos at $120 million, or about double its market capitalization, which stands at $52 million. Square Enix, a Japanese videogame publisher, is looking to expand beyond the Japan market, and Eidos has struggled recently to sell new games.