EA has announced it will buy Titanfall developer Respawn Entertainment.
The agreement will see EA pay $151 million in cash for Respawn, up to $164 million in long-term equity, and a maximum of $140 million in performance milestone payments.
According to Kotaku, South Korean publisher Nexon, which published the Titanfall mobile game, had made an offer to buy Respawn first. EA apparently had 30 days to match Nexon's offer, which they ultimately chose to do.
During the acquisition announcement, EA confirmed that Respawn currently has three games in development: a new entry in the Titanfall franchise, a new Star Wars game, and a VR gaming experience. The latter is almost certainly the "super secret" new VR game that Respawn announced for Oculus earlier this year. It's scheduled for release in 2019.
The Star Wars title, meanwhile, was announced last year when Respawn said it would be partnering with EA and LucasArts to develop a "whole new adventure" set in the Star Wars universe. At the time, it was the third announced Star Wars game in production at EA, alongside Battlefront and the now "pivoted" Visceral Games project. EA, of course, recently closed Visceral, moving development of that game to EA Worldwide Studios.
Respawn CEO Vince Zampella said of the acquisition: "We started Respawn with the goal to create a studio with some of the best talent in the industry, and to be a top developer of innovative games. We felt that now was the time to join an industry leader that brings the resources and support we need for long term success, while still keeping our culture and creative freedom [...] This is a great next step for Respawn, EA, and our players."