EA Extends Take-Two Offer
Expiration Date for Take-Two Offer to June 16, 2008 (thanks Gamer's Hell) has the
expected follow-up to word that EA was considering another extension of their
takeover offer for Take-Two Interactive (story). As the headline
states, the new deadline is June 16, but
Take-Two has
already issued their response, indicating that adding time to the offer has
not added any value for their shareholders: Strauss Zelnick, Chairman of
the Board of Take-Two, commented, “This is the same highly conditional proposal
that EA offered Take-Two stockholders on March 13, 2008, which our Board of
Directors thoroughly reviewed and unanimously determined to be inadequate and
contrary to the best interests of Take-Two’s stockholders. As such, the
recommendation of our Board of Directors that stockholders not tender their
shares to EA remains unchanged. The Board is committed to maximizing stockholder
value and is exploring all strategic alternatives to do so. We said we were
willing to begin formal discussions with interested parties on April 30,
following the launch of Grand Theft Auto IV, and we have in fact begun that
process. We are confident in the significant growth potential of Take-Two and in
the unique value of our business given our strong position in this growing and
dynamic industry.”
Ben Feder, Take-Two’s Chief Executive Officer, added, “EA’s highly conditional
offer fails to compensate our stockholders for our exceptional portfolio of
intellectual property, world-class creative resources, and our successful
revitalization initiatives. In the last several weeks, our strategy and
Take-Two’s value have been vividly demonstrated by two notable events. The
record-breaking sales performance of Grand Theft Auto IV in its first week of
release confirmed its status as the most successful video game launch of all
time and as a blockbuster on par with any entertainment product ever released.
We have also just announced an agreement with Universal Pictures to make
BioShock, the universally acclaimed hit video game, into a feature film,
demonstrating how Take-Two is delivering value from our powerful and
wholly-owned intellectual property. The small number of shares tendered into
EA’s offer to date demonstrates that our stockholders agree with what our Board
has maintained from the beginning: EA’s proposal undervalues our Company.”
For more information, please visit
www.taketwovalue.com.
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