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[ December 18th 2005 ]

Midway Games has emerged as favourite to purchase British publisher SCi Entertainment Group in a deal worth in the region of 406m UKP (599m EUR, 719m USD), The Business Online reports this morning.

SCi, who purchased Tomb Raider publisher Eidos in May 2005, has been entertaining a possible sale after announcing several suitors had approached the firm in October. According to The Business Online, Midway, which makes Mortal Kombat, has the most to gain from a partnership.

Nick Gibson, a computer games analyst, said: "Midway is a mid-tier publisher as is SCI and to compete with Activision and Electronics Arts, the market leader, they both would benefit from the synergies of being put together. SCI has a substantial portfolio of proven bestsellers and Midway is at a point in its growth when it could benefit from an injection of scale."

SCi (Sales Curve Interactive) - now trading under the Eidos brand - was started by ex British Telecom employee Jane Cavanagh who engaged a successful business model to create, own and exploit valuable game franchises through investment in high quality licences and products.

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