DISNEY is to publish its own video games for the UK and Europe, it announced yesterday.

Buena Vista Games (BVG), the interactive entertainment arm of The Walt Disney Company, will launch a range of games aimed at extending its appeal to a wider audience.

Previously, Disney has published through software houses. It said the move would not affect existing publishing deals with THQ for The Incredibles and Cars; or Capcom and Square-Enix for other PlayStation 2 tie-ins.

One of the first multi-platform releases will be an action-adventure game based on the upcoming film by Walt Disney Pictures and Walden Media, The Chronicles of Narnia: The Lion, The Witch and the Wardrobe.

Thierry Braille, BVG's vice- president and managing director of Europe, said: "Our goal is to become a leading player in the global video game industry, by providing compelling game experiences to the mass market on all major platforms."

Meanwhile, private equity firm Elevation Partners has pulled out of the race for Lara Croft creator Eidos.

Elevation scrapped its £71m bid, leaving the way clear for computer games maker Sci Entertainment to snap up Eidos.