Atari has announced plans to acquire retro game publisher and developer Digital Eclipse in a deal worth up to $20 million. The video game company will pay $6.5 million upfront, with $4 million in cash and $2.5 million in newly issued Atari shares. An additional $13.5 million may be paid out over the next years based on Digital Eclipse's performance.
The deal reinforces Atari's focus on nostalgic retro content. Digital Eclipse is renowned for critically acclaimed collections that revive classic games like Street Fighter, Mega Man, and Teenage Mutant Ninja Turtles. The company's most recent project was last year's Atari 50: The Anniversary Collection.
Atari Chairman and CEO Wade Rosen said Digital Eclipse is the best in the industry at what they do and perfectly aligns with Atari's renewed focus on its heritage.
Digital Eclipse is the best in the world at what they do. They have a deep love and respect for the history of the games industry, and are renowned for developing critically acclaimed projects based on historic franchises. Digital Eclipse, along with Nightdive, are in perfect alignment with Atari's DNA and renewed purpose. I'm personally excited to see where we can push the boundaries of retro innovation together.
Digital Eclipse CEO Andrew Ayre commented that both companies are passionate about celebrating gaming history. As part of Atari, Digital Eclipse will benefit from expanded development capabilities and access to iconic IP. They will also leverage Atari's management expertise to grow their business further.
The acquisition expands Atari's internal development resources as it makes retro gaming a core part of its strategy alongside Nightdive Studios, acquired earlier this year. The company has also demonstrated its desire for re-creation with the Atari 2600+, a modern remake of the original Atari 2600 that was first released nearly 48 years ago.
In other news, Nightdive Studios announced that it would bring back Star Wars: Dark Forces, originally released by LucasArts in 1995 for the PC.
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