The two technical parted ways when Team Ninja Head Tomonobu Itagaki left two years ago, however since then, Itagaki and Tecmo have been tussling in court; Itagaki claims that Tecmo owns him $1.4 million in unpaid bonuses. But, the courts won’t be settling this agreement. Because Tecmo and Itagaki have finally reached to an agreement.

“I thank you from the bottom of my heart for your great help and words of encouragement which have been extended to me so far. I can’t hardly wait for the day of announcing my newest work in progress to you all, but I promise you now that I will deliver to you an enjoyable game with depth that surpasses all the games I created before, and is worthy of being world-class entertainment,” said Itagaki in a statement given to 1UP.

This settlement marks the end of a long and successful partnership, but as you can tell from Itagaki’s statements, he’s planning to announce new title under his new development studio, Tokyo Vikings. Meanwhile, Tecmo and Team Ninja have revealed on series’ established by Itagaki, including Ninja Gaiden and the upcoming Dead or Alive title.

Despite former Team Ninja boss Tomonobu Itagaki having previously stated that Ninja Gaiden II would be the final entry in the series, in an interview published today on Kikizo, the new leader of Tecmo’s elite Team Ninja development studio, Yosuke Hayashi, revealed that they do have plans to add another title.

“What the gamers are looking for is going to be the next chapter – the future of an outstanding series. We feel that we’re in a position of being able to make that call… That calling is already there – we feel it,” Hayashi stated.

In addition, he revealed that they are thinking of shipping the sequel, or whatever, for as a dual-platform, meaning for both the 360 and PlayStation 3.

Hayashi stated that after Sigma 2, rather than do a 360 version of it, “we’re going to have to push ourselves to the next level, and we are better off giving both audiences an entirely new game. ”

Well, no one saw this one coming. According to Kotaku, at 1pm Japan Time today, Square Enix will be outlining its plans for a friendly takeover Tecmo, which is having some trouble at this time. The Square Enix takeover should help the company gain a stronger foothold in the U.S. market with popular Tecmo titles like the Ninja Gaiden and Dead or Alive. This can also help Square Enix with their heavily dependent on RPGs.

This isn’t the first time Square Enix has moved in on a beleaguered company. In August 2005, Square Enix acquired Taito and wholly owned the company as a subsidiary by September 2005.