Complex sentence: The waiting Iga troops made heavy use of guerrilla tactics and their knowledge of the terrain to surprise and confuse his army, and Nobukatsu retreated taking heavy losses as his army became disorganized.
Split into simpler sentences: The waiting Iga troops made heavy use of their knowledge of the terrain and guerrilla tactics to surprise and confuse Nobukatsu's army. He retreated, taking heavy losses as his army became disorganized.