Lions Gate has invested in San Rafael developer and publisher Telltale Games to further the Santa Monica studio’s brand expansion into gaming.

Telltale specializes in narrative-driven episodic games, including properties based on AMC’s “The Walking Dead” and HBO’s “Game of Thrones.” The collaboration will allow the two companies to not only produce games using Lions Gate’s intellectual property, but also develop television programs off of Telltale’s games.

Gaming has become a lucrative business for Hollywood. Lions Gate invested in Finnish studio Next Games in July. Walt Disney Co. said its 2014 gaming revenue exceeded $1 billion, a 30 percent increase from the previous year. The big bucks were partly driven by a mobile game adaptation of the Burbank studio’s animated hit “Frozen,” which has millions of active users returning daily.

“The convergence between premium filmed entertainment brands and original game properties is a natural direction in which to continue diversifying our content business,” said Peter Levin, who heads Lions Gate’s interactive and gaming division, in a statement.

Lions Gate Chief Executive Jon Feltheimer will join Telltale’s board.

Staff reporter Melissah Yang can be reached at Follow her on Twitter @MelissahYang for the latest in L.A. tech news.

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