Koei, Tecmo merger finalised, worth $207 million

The merger between Koei (Dynasty Warriors) and Tecmo (Ninja Gaiden, Dead or Alive), announced earlier this year, has had some further light shed on the exact terms of the agreement.

The holy (or unholy) union between the two highly regarded Japanese developers will be worth $207 million and will result in the formation of a holding company, with official operation of this company beginning in April 2009.

Performance expectations are pretty high, with expected sales revenues to reach $727 million, on profits of $166.2 million by the end of the fiscal year March 2012. This can be compared to current figures for Koei and Tecmo, with operating profits at $88.3 million and sales of $427.9 million for both companies combined.

The merger, news of which came after Square Enix made a move for Tecmo, aims to give both companies a much needed boost in corporate value, against a slowly deteriorating Japanese development industry.



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