Eidos Takes GameFan Stake

Eidos has purchased a nearly 20% stake in Maximum Holdings Inc., the parent company of GameFan Magazine, its affiliated websites, and the GameCave online game seller. Eidos paid $55 million dollars for 19.96% of Maximum's outstanding capital stock. Maximum is expected to use some of this new capital to complete its merger with DVD Express, a web DVD retailer, and Eidos will hold a slightly larger than 10% stake in the joint company. Eidos hopes to use its Maximum's properties to communicate directly with its target demographics and to increase its e-commerce presence. "We have decided that Maximum is the partner which will most effectively realize our objective of combining 'Content, Community and Commerce' in our approach to our target market of 10 to 34 year old game players," explained Eidos CEO Charles Cornwall, "We anticipate our alliance with Maximum will enhance significantly the e-commerce strategies of both companies."