Video game classic 'Hitman' up for grabs as Square Enix parts with studio

Japanese video game publisher Square Enix says it will part ways with the studio behind the classic franchise Hitman.

In a notice to investors filed with quarterly earnings, Square Enix says it will "withdraw from the business" of studio IO Interactive, and has started talks with potential investors.

"Whilst there can be no guarantees that the negotiations will be concluded successfully, they are being explored since this is in the best interests of our shareholders, the studio and the industry as a whole," reads the note from Square Enix.

The publisher says the move will lead to a loss of $43 million during the fiscal year.

IO Interactive is best known for the video game series Hitman, where players assume the role of assassin Agent 47. Missions require players to assassinate a target, often wearing disguises to infiltrate locations.

The property was popular enough to generate two theatrical releases: the 2007 film Hitman and 2015's Hitman: Agent 47.

Last year marked the arrival of a new Hitman video game, switching to an episodic structure, where the game was treated similar to a TV season, with episodes rolling over the course of the year for PC, PlayStation 4 and Xbox One. The strategy worked, earning the game high praise among critics.

It's unclear whether IO will continue work on the second season of Hitman.

IO was acquired by publisher Eidos in 2004. Five years later, Eidos approved a takeover of the publisher by Square Enix, best known for the role-playing series Final Fantasy. The deal also gave Square Enix the rights to the hit video game franchise Tomb Raider. 

Follow Brett Molina on Twitter: @brettmolina23.