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Tecmo Koei merger to close by April

Business combination valued at $207 million sees Dynasty Warriors publisher to take three-quarters ownership stake in new holding company.

In contrast to EA's unfruitful months-long takeover attempt of rival Take-Two, Koei's courtship of Japanese rival Tecmo was a whirlwind romance. Not two weeks after Tecmo head Yoshimi Yasuda followed Tecmo brain Tomonobu Itagaki out the door, the Ninja Gaiden maker turned down a friendly buyout offer from Square Enix, saying that it was instead in merger talks with Dynasty Warriors purveyors Koei.

A month later, and Tecmo and Koei had agreed in principal to form a holding company that would merge the two game companies' businesses. Today, the Reuters news service reports that Tecmo and Koei have announced more definitive plans for their business combination, which is expected to close by April 2009.

As part of the deal, Tecmo shareholders will be offered nine-tenths of a share in Tecmo Koei Holdings for each share they currently own in the independent gamemaker. Koei stock owners will have one share added to each share they currently own, which translates to the gamemaker's shareholders owning three-quarters of the new company. Reuters reports the deal is valued at ¥20 billion ($207 million).

Reuters reports that Tecmo Koei Holdings is targeting operating profits in excess of ¥16 billion ($166 million) on revenues of ¥70 billion ($725 million) by the fiscal year ending March 2012.

55 Comments

  • BlackBaldwin

    Posted May 25, 2009 12:12 pm PT

    Wow thats pretty interesting news, I wonder why tecmo decided to take koei up on their offer instead of square well anyways way to go koei I'm glad to see one of my fav companies partnering up with another good company.

  • was2

    Posted Jan 28, 2009 4:30 am PT

    great work Tomonobu Itagaki we wait for ninja gaiden 2 black or ninja gaiden 3 we love this saga one of the best of history

  • was2

    Posted Jan 28, 2009 4:26 am PT

    great work Tomonobu Itagaki we wait for ninja gaiden 2 black or ninja gaiden 3

  • djr1118

    Posted Jan 27, 2009 2:29 pm PT

    wow i cant remember the last time i played a DW game but anyway while its defintely not the best game out there but its fun to play at times(this is another one of those i call rainy day games lol). and it has multi-player which is a plus for many ppl. ......................... its a beat em up game so wat do ppl expect from it, do u want a long compelling story like in rpgs, do u want it to have the timed button press sequences(like RE4), the awe inspiring cut scenes ppl go on about in some games....it has all the elements that a game in the genre shold have(ok maybe not all and ye it still has its flaws) but take it for what it is a beat em up.........if tecmo can spice it up a little it would go a looooooonnnnnnngggg way fot the DW series though, if not then i doubt it matters b/c the ppl that continue to buy it dont expect too much to be different anyway lol

  • redneckdouglas

    Posted Dec 9, 2008 2:20 pm PT

    Dynasty Warriors needs Tecmo.

  • liao2067

    Posted Nov 30, 2008 9:30 am PT

    it means that by the end of april, tecmo and koei will be one company

  • NamcoKun

    Posted Nov 21, 2008 1:51 pm PT

    So anyone knows answer to my question? ...

  • zhuge_liang_

    Posted Nov 21, 2008 7:18 am PT

    The Dynasty Warrior franchise needs a boost... Maybe tecmo has the brains to add so content. We'll see...

  • NamcoKun

    Posted Nov 20, 2008 10:47 am PT

    Gaah I wish my english was abit better... it was kinda hard for me to understand this. Okay so lemme explain how I got it; Koei and Tecmo wanted to co-up, and they are currently doing that, but they will end it in April? Ammirite?

  • EnaVRi

    Posted Nov 20, 2008 3:03 am PT

    Hmm I'd like to see more improvement in the dynasty warriors series... It was good, the improvement from tim to time was only cosmetics... I hope this merger will be good for both Tecmo and Koei games improvements...

  • jadefury27

    Posted Nov 19, 2008 10:30 am PT

    a doa themed dynasty warriors is sounding pretty good. play as the the cast to take on the corp. that's been at the heart of every game? (hint hint). and to answer nercon i thought 99 nights on xbox 360 was a little better then the regular d.warriors games with the exception of the gundam edition dynasty warriors.

  • Nerkcon

    Posted Nov 19, 2008 9:02 am PT

    I actually like Dynasty Warriors! I know they rehash it a lot (and in certain ways it's actually getting worst, the best one was 3) but I just love the series. I'm addicted to it. There have even been a few rip offs like Devil Kings but I think they get away with rehashing because there are not much other games like it. Name me 10 games like Dynasty Warriors were you fight along aside your army, dominate enemies on horse (or any mount you can fight on), And collect special weapons and items with unique power ups? That are all better than Dynasty Warriors?

    Sure, you can name 1 or 2... but you can't name 10 because there aren't that many games like that period!

  • gobbo00

    Posted Nov 19, 2008 7:17 am PT

    Lets put this into perspective, Tecmo only have two notable games. Dead or Alive & Ninja Gaiden, and now the man behind them as left Tecmo.

    Koei has Dynasty Warriors, not the best game in the world to say the least!
    So in short this is good news how? 1) More Dynasty Warriors YAY! to pay for development of NG & DOA.
    2) So many DOA & NG sequle's people no longer can be botherd with them.

    Great News *rolls eyes*

  • nparks

    Posted Nov 19, 2008 7:10 am PT

    So...when is Code Cronus coming out?

  • pilot_riaz

    Posted Nov 19, 2008 6:55 am PT

    Hope some more Ninja Gaiden comes out of Xbox 360, will there be a Ninja Gaiden 3?

  • portej

    Posted Nov 19, 2008 5:35 am PT

    ***Evolution complete***

  • Diernes

    Posted Nov 19, 2008 4:44 am PT

    Awww its not so bad, at least now you can expect annual installments of Ninja gaiden and DOA along with the dynasty warriors updgrades. looks for awesome improvments similar ot the abiltity to climb ladders in DW6

  • MightyMuna

    Posted Nov 19, 2008 3:18 am PT

    at last, Ninja Gaiden now multiplat.

  • TehUndeadHorror

    Posted Nov 19, 2008 3:03 am PT

    Hope Tecmo have more control over this merger than Koei... Koeis games are all the... same. Tecmo have much more compelling games.

  • xdeiri

    Posted Nov 19, 2008 12:42 am PT

    will good bye my beloved tecmo games .

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