Eidos Begins Takeover Talks

Struggling Tomb Raider publisher Eidos has announced that it has entered into discussions that "may or may not lead to an offer being made for the Company." The potential buyer was not named, with Eidos stressing that discussions are "at a very early stage and that there can be no assurance that an offer will be forthcoming."

The overall company, which recently changed its name from SCi to that of well-known subsidiary Eidos, has long been the subject of frequent takeover rumors. Its properties include Tomb Raider, Deus Ex, Carmageddon, Hitman, and Kane & Lynch.

Numerous possible buyers have been rumored across the past year, including Square Enix, Electronic Arts, Ubisoft and Warner Bros. Of the four, Warner Bros. is considered to be the most likely, as it already owns 20% of the oft-beleaguered publisher.

Eidos' long-running financial woes worsened recently, as Tomb Raider: Underworld failed to meet expectations, selling only 1.5 million units instead of the projected 2 million, prompting layoffs at Tomb Raider: Underworld developer Crystal Dynamics.