Ex-Activision Blizzard developer Toys for Bob has apparently signed a deal with Microsoft for its next title.

As reported by Windows Central, the company has finalised an agreement with the Xbox giant for its upcoming project. This comes hot on the heels of Toys for Bob spinning out from Microsoft and Activision Blizzard, though at the time the studio said that it was in discussions about a "possible partnership" with Xbox.

"With the same enthusiasm and passion, we believe that now is the time to take the studio and our future games to the next level. This opportunity allows us to return to our roots of being a small and nimble studio," studio heads Paul Yan and Avery Lodato wrote at the time.

"To make this news even more exciting, we’re exploring a possible partnership between our new studio and Microsoft. And while we’re in the early days of developing our next new game and a ways away from making any announcements, our team is excited to develop new stories, new characters, and new gameplay experiences.

"Our friends at Activision and Microsoft have been extremely supportive of our new direction and we’re confident that we will continue to work closely together as part of our future."