Merger complete: Infogrames acquires Atari for US$ 11 million

Finally, the marriage is complete. After asking for a deadline extension, Atari has finally accepted Infogrames’ proposal last March for a merger – to the tune of US$ 11 million. More details after the jump.

It may have taken some patience but it’s finally done. According to a press release, Infogrames has acquired Atari for US$ 11 million. If you could remember, Infogrames offered a buy-out proposal as early as March in light of Atari’s financial struggles.

Prior to making the deal, Atari hired a new CEO and sought a deadline extension on the Infogrames offer to explore all possible options. With Atari’s agreement, Infogrames will acquire all the remaining outstanding equity interests of Atari (computed at US$ 11 million). In return, Atari will now become a wholly-owned subsidiary of Infogrames.

Here are specifics of the agreement:

• brings to a close a period of financial underperformance for Atari;
• strengthens Atari under Infogrames’ new management team;
• delivers a platform for future growth in the US; and
• offers Atari shareholders an all cash exit.

How will this turn out for the classic gaming brand that is Atari? We are about to find out. Meanwhile, keep posted here at QJ.NET for the latest gaming developments.