(Reuters) – Computer games firm Electronic Arts said on Monday it had reached an agreement to buy Codemasters in a deal worth $1.2 billion, trumping an earlier agreement between the British company and rival Take-Two Interactive Software.
Under the deal, Codemasters shareholders will receive 604 pence per share, representing a premium of 13.1% to the last closing price of the company’s shares.
The deal price is also higher than the 485 pence per share Take-Two had offered for Codemasters last month.
Take-Two did not immediately respond to a request for comment.
Codemasters, which is known for its Formula One games for the Playstation 4, said its board considers the EA offer to be superior to the Take-Two proposal.
Reporting by Tanishaa Nadkar in Bengaluru; Editing by Aditya Soni