Take-Two asks shareholders not to take EA offer

by Alexander Sliwinski { Mar 13th 2008 at 11:46AM }

Take-Two is appealing to stockholders not to consider EA's early-morning all cash tender offer, which pitched a purchase of the company's stock at $26 a share (a 4.4% premium over yesterday's closing price). The Take-Two board states it will review and consider EA's offer and, within 10 business days, advice stockholders of the board's position on the matter along with its reasoning.

The 10 day "please wait" request from the Take-Two board is still way within the April 11 deadline given by EA on its $26 per share offer to stockholders. EA wants Take-Two and it wants it bad.

Tags: Acquisition, BreakingNews, Buyout, EA, Riccitiello, Take-Two, TakeTwo, Zelnick

Reader Comments (Page 1 of 1)

ThePremierAssassin @ Mar 13th 2008 11:55AM

It would be stupid to sell now IMO...GTAIV is right around the corner...

They should wait...see how well GAT does and then analyze their financial situation afterwards. Its like EA is trying to induce panic/fear in their stockholders just to be jerks.

But I don't think its going to work...or at least I hope now...

Seriously though this thought just occured to me...if GTA becomes an EA property would you guys still buy it? Part of me thinks it would be interesting/awesome to boycott this game in protest to EA IF it happened. What do you guys think? Would it work?

copa @ Mar 13th 2008 12:03PM

Exactly. If this was a good faith offer by EA, they would leave it on the table one week after GTA4 went on sale.

If EA isn't confident that this would still be a fair asking price on May 6th, why the hell would the shareholders be stupid enough to take it?

ThePremierAssassin @ Mar 13th 2008 12:09PM

WOWit just KILLS me that Joystiq doesn't even have a freaking edit button or feature...

I do speak English people...like BORAT!

ChooChooCharlie @ Mar 13th 2008 12:30PM

"Part of me thinks it would be interesting/awesome to boycott this game in protest to EA IF it happened. What do you guys think? Would it work?"

I agree, it would send a clear message what we think of EA, but it would pretty near impossible to pull off. To get it to work, you'd need to somehow convince all the people who have been waiting for this game for months to all of sudden say no. Plus you'd still have the casuals to deal with, since they don't usually know about internet-based movements and boycotts.

please @ Mar 13th 2008 11:58AM

GTA will do average. Sell while there is still hype

rv @ Mar 13th 2008 12:15PM

Approximately a 2% increase over the price right now. If I was a shareholder, Id stick around, but at the first sign of a downfall, I would sell. Take 2 shareholders probably don't care about the games, they care about their money.

As a side note, where is MS in this. They could easily outbid ea, and having gta as a console exclusive would boost sales tremendously. I wonder what they are thinking.

Noshino @ Mar 13th 2008 12:36PM

GTA will do average? have you seen the increase of sales between every chapter of the series? it has never gone below the sales of the previous installments...

One can only expect GTA to go up, but then again, this is just an educated guess, people's attraction towards things are unpredictable (READ: Wii)

Worst Review Ever @ Mar 13th 2008 1:22PM

"people's attraction towards things are unpredictable (READ: Wii)"

Man, you sony trolls are really getting desperate, huh?

x silence x @ Mar 13th 2008 11:58AM

No...

I would buy GTA:IV no matter what at this point.

ViagraFiend @ Mar 13th 2008 12:01PM

If EA buys Take Two, I wont buy GTA IV. Im not giving up on my boycott at this point.

xFenixKnightx @ Mar 13th 2008 12:03PM

Damnit EA, FUCK OFF!!!

Kujel @ Mar 13th 2008 12:12PM

I'm for this deal because maybe, finally we'll see a sequel to the greatest game ever (Alpha Centuari). EA may not be the best publisher but they still published some really good games.

Eric @ Mar 13th 2008 12:14PM

You guys need to not think of this like gamers. Look at if from a money making point of perspective. It would be great for there shareholders to take this deal. Not only would it make them money mow but also in the long run. they will now have EA stock not take two. EA always is turning a profit. Either way they will still be making money of of GTA 4. But the best business sense is to take the offer.

robert @ Mar 13th 2008 12:40PM

i think you're a little confused there.

the shareholders wouldn't have EA stock, once they sold their shares to EA they no longer own the shares, EA does.
It' true that they make a small percentage over what it's currently worth now but then they're out.

Eric @ Mar 13th 2008 12:15PM

Oh i am against it myself but to think they will not take this offer is silly.

GOLIATH @ Mar 13th 2008 12:16PM

To be honest if EA gets away with this, it cause all of TakeTwo's game to suck. I mean really, what was the last good EA game anybody has played? I mean anything with innovation? EA doesn't really do anything besides quick rehash sequels, that are pumped out every year with tons and tons of commercial advertising everywhere you look in everyone of their games.

If this were any other industry beside gaming the government would have nailed EA along time ago with an Anti-Trust Lawsuit.

I really hope the share holders say no. Because theres not really any other large descent game publishers left. Thats why the French government helped stop the takeover of Ubisoft. If Ubisoft got taken over by EA who in all honesty thinks the game quality would have gotten better or worse, over at Ubisoft?

Wilhelm @ Mar 13th 2008 4:19PM

"I mean really, what was the last good EA game anybody has played? I mean anything with innovation?"

.skate

Crono (NDF - Knight of the Old School) @ Mar 13th 2008 12:20PM

EA is just mad they aren't the biggest bully in town anymore (Thanks to acti-blizzard), so they're trying to grab another big studio to reclaim that spot.

ThePremierAssassin @ Mar 13th 2008 12:28PM

Its like the baby who just doesn't get enough attention and keeps screaming at the top of lungs, "LOOK AT ME DAMNIT! I'M SPECIAL. I'M IMPORTANT!"

THE WICKER MAN (BWF) (GT: Dalek Prime) @ Mar 13th 2008 12:49PM

I thought these EA assholes realized the error of there ways? Its like all these purchases admit they are incapable of making good games. Instead of spending money on new studios they should throw it to ones theyve bought and whored out...westwood...sniff.

ScottG13 @ Mar 13th 2008 12:57PM

Keep in mind that the current T2 stock price is artificially inflated because of the buy out offer. If EA drops its offer, the price drops, too.

JohnMidnight @ Mar 13th 2008 12:59PM

No... they didn't, but like I put up on GP, boycott ea. IE now, LOL. cease buying EA games will put pressure on EA to NOT buy TT because they'd start losing sales.
If EA does buy TT... I don't think I'd consider it worth it to ever buy a EA game ever again. (I'd even break the games if given free)

Kye NFC: 7016 - 9552 - 1191 - 8991 @ Mar 13th 2008 1:03PM

No to EA!

Group High5s.

Anthony @ Mar 13th 2008 1:21PM

T2 doesn't have any other good games, and I don't even care for GTA. I'd love EA to buy them if only so we can finally have a decent baseball game again. Viva next-gen MVP!

Burritoclock @ Mar 13th 2008 1:24PM

I have a better idea for you losers, you should start an online petition, that way you can play GTA and have the exact same effect as your "boycott", which is to say no effect.

What is it about the internet that makes people think they can change the world by getting two hundred people to type their email or not buy something?

MasterCKO @ Mar 13th 2008 2:08PM

and this is why news on financial matters (like a takeover attempt) are wasted in a video game forum (tho I guess it's related.)

rah rah rah, I hate EA, rah rah rah!

btw, a boycott on the level discussed here would mean almost nothing to EA. Most of the market that would buy GTA wouldn't have the slightest clue that EA bought T2 and they would just purchase the game along their normal patterns.

Gotta wonder what bug is flying up EA's butt to make them try so hard for T2.

Vegeta (aka Ska Oreo) @ Mar 13th 2008 4:36PM

It's called money.

Vegeta (aka Ska Oreo) @ Mar 13th 2008 4:43PM

And that's the reality. And I wouldn't be surprised if some of the people here bitching about EA would still buy GTA even if it has their logo. Frankly I find a boycott of this game fucking ridiculous.

MasterCKO @ Mar 14th 2008 7:17PM

yeah, fair enough (about the money comment), but are they really in such straits that they need to attempt a hostile takeover? EA is a pretty profitable biz, right?

Not discounting the importance of money as a I wonder if there is some other less tangible impetus.

Oh, and yeah, I agree with you 100% about the ridiculousness of the "boycott" suggested here.

mirage @ Mar 13th 2008 2:29PM

I hate EA for their strong arm tactics, but I also like to play games and GTA happens to be one of my favorite franchises. I will definitely buy this game but future versions would be suspect until I could rent them. If EA was able to buy Take 2 I would hope that Rockstar could get out from under their evil umbrella before having to make any more GTA's.

PSN: KillaKornbread (the shirt is a lie!) @ Mar 13th 2008 4:12PM

maybe i missed something but to everyone saying they would boycott if EA buys it, i ask why? this game is almost completely done already and is a complete TakeTwo/Rockstar game. the only way i could see a boycott of GTAIV at this point would be if EA does buy TakeTwo and they then delay GTAIV again to stick all their branding and stuff on/in it.

now if they do sell (they probably will eventually) the next GTA would be the one to boycott.

and also, how does EA think they are being sneaky? it's quite obvious that they just want to own TakeTwo when GTAIV comes out for that mass amount of revenue that is sure to come with it.

DrSpoq @ Mar 13th 2008 4:13PM

http://www.gifsource.net/upload/T2vsEA_gifsource.gif

Vegeta (aka Ska Oreo) @ Mar 13th 2008 4:35PM

Please like they give a shit what us gamers think about this. Don't be surprised if the shareholders do this since I'm sure they're sick and tired of Take-Two's shit. And from a business point of view, it's a very attractive offer.

Phish @ Mar 13th 2008 4:37PM

heh that GIF is funny. Boycotts dont do anything anymore, because the world population is so high, that even if half the US boycotted EA there would be enough sales to make up for it in other markets. EA sucks, didn't they just do a panel at GDC about not buying up studios all the time?

Phish @ Mar 13th 2008 4:39PM

Also... EA probably don't care about GTA at all and will let it go on it's way, they want to make sure they have as many sports licenses as possible

Gordon @ Mar 13th 2008 5:35PM

Seriously Ea games are shit. Ok nfs is good but look at james bond. Good idea but they fucked up every bond game.
Another thing where the hell is microsoft in all of this shitpile? EA will ruin gta. But if Rockstar go on there own maybe we wont have to put up with a GTA EA..