Those hoping to see a bit more diversity in the brick-and-mortar retail market have taken a hit today, as EB Games has announced that they are set to acquire New Zealand-based company The Gamesman. The takeover is expected to be swift, with 8 Gamesman stores rebranded as EB Games by the end of July.

EB Games is a part of the GameStop chain, and the corporation already holds a presence in New Zealand. The company saw an 82% rise in earnings in fiscal 2007, and have announced expansion plans totaling 600 new stores in 2008.

While corporate mergers and acquisitions are nothing new, buyouts like these reduce competition in an already small market. There aren’t many specialty gaming chains out there, and every time GameStop/EB buys a company, that’s one less outlet that can offer competition to the retail giant.

- Via GameIndustry.biz