'Dirt 5'
The deal trumped an earlier takeover bid from Take-Two Interactive for the company behind the 'Formula One' and 'Dirt' game franchises and could lead to a bidding war.
Video game giant Electronic Arts said early on Monday morning London time that it has reached an agreement with the board of U.K. game developer and publisher Codemasters to acquire it in a deal valued at $1.2 billion.
The offer trumped an earlier takeover bid from Take-Two Interactive for the maker of racing games, such as
Formula One and
Dirt, for close to $1 billion. It wasn't immediately clear if Take-Two would counter the offer and set off a bidding war.