Last week some surprising news surfaced involving an acquisition bid for Tecmo by Square Enix in a deal reportedly worth $102 million. Today was the day that the offer expires and it’s now being reported that Tecmo has in fact rejected Square Enix’s bid, in favour of a proposed merger with Koei (of Dynasty Warriors fame).

From a statement issued ealier today, it seems the two companies, Tecmo and Koei, hope to balance out each others’ portfolios, Tecmo’s Ninja Gaiden and Dead or Alive franchises proving more popular in the west, while Koei’s Dynasty Warriors series is much more popular in Japan. They also hope to cater to “varied and sophisticated” consumer needs and ensure that they acknowledge “multi-platform and the importance of overseas” markets.

“…Under these circumstances, these two companies have excellent financial positions, strengths and the ability to take advantage of each other in order to improve profitability and solidified the foundation of a worldwide leader.”