The maker of the Angry Birds video games, Rovio Entertainment, has agreed to be taken over by Japanese gaming giant Sega Sammy Holdings.
The deal will see Sega, best known for its Sonic the Hedgehog character, paying €706m for the company.
Finland-based Rovio announced it had launched a review of the business, including holding discussions over a potential sale.
It confirmed on Saturday it was in talks with Sega.
Angry Birds was the first mobile game to be downloaded one billion times and has seen several spin-off versions, and the brand has also produced two Angry Birds movies.