Microsoft Divests Video-Game Studio Behind ‘Skylanders’ Hit

People play the Skylanders game in Los Angeles.

Photographer: Patrick T. Fallon/Bloomberg
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Microsoft Corp. is divesting the Toys for Bob video-game studio two decades after its Activision subsidiary purchased the developer of Skylanders and other titles.

Toys for Bob heads Paul Yan and Avery Lodato wrote in a blog post Thursday that the business will operate as an independent studio and that they’re looking for a “possible partnership” with Microsoft. Financial terms weren’t disclosed.