Take-Two board rejects EA bid

[inadub]

crazy, these days everyone trying to buy out everyone else... smart move to say no at this point if you ask me.. wait to see how well the game does.. but EA sure wouldnt be a bad place to end up either..

 

 

By BARBARA ORTUTAY, AP Business Writer

Wed Mar 26, 11:07 AM ET

 

 

NEW YORK - "Grand Theft Auto" publisher Take-Two Interactive told its shareholders Wednesday to reject a $2 billion buyout bid from rival video game company Electronic Arts, saying it's not enough.

 

But in the same breath the company said it will explore alternatives, even combining with EA or other third parties, to maximize its value for shareholders. But it wants to wait until after April 29, when "Grand Theft Auto IV," the latest in the blockbuster series, hits store shelves. The game is by far Take-Two's most popular and one of the best-selling franchises in the industry.

 

The $26-per-share bid turned hostile March 13 when EA took the offer directly to shareholders. Take-Two's board had asked for 10 business days to mull over the decision and that time ran out Wednesday.

 

Take-Two took several steps to prevent EA from going through with a hostile takeover. It adopted a 180-day shareholders' rights agreement, also known as a "poison pill." It kicks in if an outsider acquires 20 percent of Take-Two's shares or if an existing shareholder who already owns this much buys another 2 percent.

 

Chairman Strauss Zelnick said the rights agreement "will not, and is not intended to, prevent a takeover of the company on terms that are fair to and in the best interests of all stockholders."

 

Take-Two also moved back its upcoming annual shareholder meeting to April 17 from April 10 and amended its bylaws to give shareholders more time to nominate board members.

 

A representative for Redwood City, Calif.-based Electronic Arts Inc. could not immediately be reached for comment.

 

Take-Two Interactive Software Inc.'s shares have briefly climbed above $26 in recent weeks, but analysts are not expecting the offer to go much higher. The company said it has received other "indications of interest" since EA's offer became public last month, but there haven't been any "substantive discussions."

 

Take-Two said it is willing to start preliminary talks, including with EA, before April 29 under confidentiality agreements.

 

 

link:

http://news.yahoo.com/s/ap/take_two_electronic_arts

[RNG187]

2 billion NOT enough? dear lord. lol, thats besides the fact EA is a powerhouse when it comes to video games. but, by not doing it, it'll maintain the quality of the game, so i cant complain. ;D

[lX-OSCEOLA-Xl]

the following is my option and not meant for solitication of stock.

 

 

 

i HAVE a personal interest in this deal ...

 

$2 billion is not enough, IMO the company is worth at least $3B or $40 a share. EA is trying to steal this company at a bargain rate. If you value take two at the same multiple as other deals in the industry you will ger a price of about $40 as well.

 

If you are really interested in this deal and the business side of the gaming industry check out this link

 

http://www.veracast.com/webcasts/bas/smidcap08/id02108309.cfm

 

A presentation that take two made for a small cap conference hosted by bank of america.

$2billion is NOT enough if they want to buy take two, they make some of the best games.

 

GTA

Bioshock

NBA 2k

MLB 2k

midnight club

civilization

mafia

manhunt

 

among MANY others

[Chili327]

LORD_LUCIFER ]

$2billion is NOT enough if they want to buy take two, they make some of the best games.

 

GTA

Bioshock

NBA 2k

MLB 2k

midnight club

civilization

mafia

manhunt

 

among MANY others

Plus i think the New Midnight Club: LA, & Civilization: Revolution will both be huge..!!

 

So i agree, we ALL win by them not doing it.

[Guest M16Assassin]

I think it sucks EA is monopolizing the game market. I'm glad take-two is putting up a fight against them. The more competition the better.

[Chili327]

Not to mention EA is single handedly ruining videogame football. >

[lX-OSCEOLA-Xl]

Chili-Palmer ]

Not to mention EA is single handedly ruining videogame football. >

 

If EA buys take two they will again have a monopoly on basketball (TTWO's NBK2k is a much better game than NBA live) and EA would also get take two's exclusive third party baseball license. EA would be able to make baseball games again.

 

IF EA does not buy it, I am looking for Microsoft or Sony to pick it up. If either sony or microsoft could make take two's games exclusive to one console, it would be a BIG win in the console wars. For this console cycle and the next. I doubt take two will stay independent here.

[Chili327]

Wait... So who owns 2K sports..?

[lX-OSCEOLA-Xl]

Chili-Palmer ]

Wait... So who owns 2K sports..?

 

Take Two owns 2K sports

[Chili327]

Thats what i thought, so this would COMPLETELY ruin sports games for me.!!

[chris_pheonix7]

ye i agree with the competition thing because if in the future EA owns everything than all standards for videogames will be lowered

[lX-OSCEOLA-Xl]

Chili-Palmer ]

Thats what i thought, so this would COMPLETELY ruin sports games for me.!!

 

You are 100% right, Madden and NCAA football have not been that good the past few years.

[Chili327]

Ever since NFL 2K5, EA got scared & started ruining football. They knew if they didn't do anything, NFL 2K6 (had it ever been made, also NCAA 2K6) was going to give them more of a run than they could afford.!!

 

And now that, the 2K threat is not there.. EA can just pop out anything they want. >

 

Man I hate Madden, & EA football.

I was so excited for NCAA 2K6.. but now it is just a dream. And all i can do about it is play APF 2K8.

[lX-OSCEOLA-Xl]

Chili-Palmer ]

Ever since NFL 2K5, EA got scared & started ruining football. They knew if they didn't do anything, NFL 2K6 (had it ever been made, also NCAA 2K6) was going to give them more of a run than they could afford.!!

 

And now that, the 2K threat is not there.. EA can just pop out anything they want. >

 

Man I hate Madden, & EA football.

I was so excited for NCAA 2K6.. but now it is just a dream. And all i can do about it is play APF 2K8.

 

2k could not make the NFL games anymore since EA bought the NFL license. It sucked, they made all pro football, that game sucks too. The only thing cool is the OJ simpson charater, when you score a TD with his, there is a huge masked man with a knife in the stadium. His team was the assains ....

 

It is right at the end.

[Chili327]

APF 2K8 is not a bad game you just have to get used to using people like Joe Montana, Barry Sanders, & Jerry Rice in weird uniforms (but you can customize the uniform a LOT.!) and some crazy stadiums too.!