Take-Two Interactive (NASDAQ:TTWO) has a new asset in its portfolio. The company’s 2K publishing label announced Tuesday that it acquired the video game unit of privately held HookBang. It did not disclose the price it is paying.
The team members that are joining 2K/Take-Two will be rebranded as Visual Concepts Austin, and be part of the similarly named Visual Concept. This is the Take-Two-owned studio responsible for the company’s long-running and popular NBA 2K series of pro basketball video games. NBA 2K is important for Take-Two, as it has a solid user base and is updated every year. The latest title in the series, NBA 2K21, was released last September.
In its press release trumpeting the acquisition, Take-Two said that Visual Concepts Austin will take on new developers for its team. The unit will also assist Take-Two’s “expanding publishing business.”
HookBang was well familiar to Take-Two and Visual Concepts, as it had collaborated on previous NBA 2K titles — which the acquirer clearly believes is a cornerstone franchise. Take-Two quoted Visual Concepts President Greg Thomas as saying that “NBA 2K is a vital part of 2K’s publishing business and the larger video game industry, as well as a fixture in global pop culture lexicon.”
“We have made many investments in NBA 2K over the years, each of which has helped us reach new heights,” he added.
Despite that lofty pronouncement, Take-Two did not provide estimates for how the addition of the HookBang unit would affect its operations financially.
This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.
View more information: https://www.fool.com/investing/2021/03/24/take-two-acquires-hookbangs-video-game-unit-to-bol/