Take-Two acquiring Gearbox Entertainment for $460 million

Take-Two Interactive – a leading video game publisher that owns both 2K and Rockstar Games – has just added another developer to its list of subsidiaries. According to Embracer Group, it has sold Gearbox Entertainment to Take-Two in a deal estimated to be worth $460 million.

The two companies already had a working relationship through the Borderlands series, but now Take-Two is set to completely own Gearbox and acquire not only the rights to Borderlands, but also to Duke Nukem, Tiny Tina, and many other titles.

All parties involved in the deal have acknowledged that this is the best possible outcome moving forward, with the Embracer Group gaining a massive financial windfall and Take-Two gaining a developer (in Gearbox Entertainment) that it has worked well with in the past and been interested in for a long time.

With Take-Two now gaining the development rights to the likes of Borderlands, Brothers in Arms, Duke Nukem, Homeworld, and Risk of Rain, to name just a few, the publisher has assured fans that the acquisition of Gearbox will only strengthen the developer’s ability to keep making great games.

As well as acquiring Gearbox Software, based out of Texas, Take-Two will also take ownership of Gearbox’s Montreal studio and Gearbox Studio Quebec. Rumors that the Embracer Group was possibly interested in selling Gearbox first began all the way back in September.

Of all the prospective buyers – to which there were said to be several – Take-Two Interactive was the leading candidate from the outset due to its ongoing relationship and publishing arrangement with the Borderlands franchise and other Gearbox games.

On the Embracer side, it has been executing its restructuring plans and widespread money-saving operations since June 2023. This would have potentially seen the closure of Gearbox Entertainment and the cancellation of its upcoming games if a buyer had not been found within a reasonable timeframe.

The $460 million deal marks an important step in both Embracer’s focus going forward as well as the future of Gearbox Entertainment-developed games. It appears that stakeholders on all sides are happy with the end result, and this is something that can’t always be said when it comes to company takeovers in the gaming industry.

With their previously successful working relationship, and Take-two Interactive being one of the leading American game publishers, it seems that Gearbox will be allowed to continue to create – and potentially even expand – on its already impressive list of developed titles.

This newest takeover is just one in a number of shake ups to the video game industry lately. What this means for the future of the medium can’t be said for sure, but as always, the world of gaming remains as unpredictable and interesting as ever.