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.

Danish developer Io Interactive garnered a serious reputation thanks to its Hitman games, starring the mysterious Agent 47 – a man with a barcode on the back of his shaven head and unrivalled skills when it came to dispatching even the most heavily guarded targets. But since 2006, the laconic fellow has not been seen, with Io instead making two Kane and Lynch games which, frankly, were rather rubbish. Someone, though – either at Io itself or publisher Square-Enix, which owns the studio – has finally seen sense, and after a five-year hiatus, the company has returned to its alma mater in the form of Hitman Absolution, due for release some time in 2012 on PS3, Xbox 360 and PC. Gratifyingly, at the Hitman Absolution demo we were treated to at E3, it more or less instantly became obvious that Io Interactive has also returned to its comfort zone. The game – being shown for the first time – generated quite a buzz.