Mar 26
Take-Two Gives Big Middle Finger to EA
Following the recently unsuccessful bid by EA to buy all outstanding shares of Take-Two’s stock at $26 a share, the company has received offers from a few third-party companies that are now interested. However, you can rest assured that there won’t be any buying or selling of Take-Two stock until after the release of Grand Theft Auto IV at the end of April.
According the chairman of Take-Two Strauss Zelnick, “Our Board, after careful review, has unanimously determined that Electronic Arts’ offer continues to provide insufficient value and remains opportunistically timed to capture the value of the upcoming Grand Theft Auto IV launch at the expense of our stockholders.”
To put it bluntly, screw you and the horse you rode in on EA, after GTA4 comes out, you can’t afford us!
Zelnick continues his verbal pwnage, “We are effectively working toward a process to review all available options to maximize this value, either as an independent company or in combination with a third party, and are open to beginning informal discussions starting now. Our stockholders’ interests would hardly be served by accepting an offer from EA at the wrong price and the wrong time.”
So in short, it doesn’t look like EA planned on their offer to buy Take-Two backfiring as much as it did. Fortunately the shareholders of Take-Two are smart enough to realize that the release of GTA4 is going to make the stock surge as long as there isn’t any “hot coffee” included.
Categories: Gaming Industry3 Comments so far
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I don’t claim to understand stocks, but I never expected Take Two to allow themselves to be purchased by anybody, considering some of the brands they own.
Thats the problem with being a publicly traded company. When you have stock that is purchased by shareholders, your first priority is to make it profittable to them first. So yeah by them not selling to EA, they turned down an offer of over 2 billion dollars in hopes that after GTA IV comes out that they can sell for more money due to how hot the company will be.
“I like money”