Tue, Aug 19, 2008 | 09:39 BST
EA won’t extend Take-Two deadline, deal to lapse
EA’s announced that it won’t extend its deadline to buy Take-Two after its current deadline lapses tonight, saying that it doesn’t believe it could integrate the firm in time for Christmas if things drag on any longer.
Take-Two shares fell nearly 6 percent in premarket trade to $23.38 today.
The news comes after weekend talks between EA chief John Riccitiello and Take-Two chairman Strauss Zelnick.
EA has said it will see a three-year plan presentation from Take-Two, but that it’s five-times-renewed tender offer will drop tonight.
So that’s the end of that. For now.
Related posts
EA likely to extend Take-Two offer deadline
6 
Posted in: 2K, EA, Rockstar, Take-Two, Trade
Tags: buyout, John Riccitiello, Strauss Zelnick, takeover
6 comments
#1
Psychotext
18/08/08, 2:35 pm
Now watch their share price tank.
#2
patlike
18/08/08, 2:40 pm
Yeah. I think they’ll regret it, to be honest. Also…
#3
SticKboy
18/08/08, 3:01 pm
Analysts being utterly wrong? Whatever next?
#4
El_MUERkO
18/08/08, 3:02 pm
The Take-Two share price may drop when EA stop trying to buy them and reactionery shareholders try to sell up in a panic akin to “there’s no money in the bank!” but I’d bet on it rallying again in the run up to Christmas.
GTAIV’s PC release and GTA Chinatown Wars for the DS will earn the company some money and the increased focus will probably cause a surge in GTAIV 360/PS3 sales as happened with the PC release of GTAIII/Vice City/San Andreas. Bioshock PS3 and Mafia 2′s releases will far from hurt the Q3/Q4 books either.
If T2′s shares tank and I had the cash and inclination I’d be looking to pick some up myself.
#5
Quiiick
18/08/08, 3:26 pm
EA will still buy T2 later on, I guess.
And it’s a sane decision to finally drop the offer and not extend the deadline again. T2 will drop back to a more realistic share-value which is also healthy IMO.
Let’s wait and see what EA is up to in 2009 …
#6
Hunam
18/08/08, 5:50 pm
Won’t they all think of the System Shock!
If EA bought them, Levine would have access to the SS rights and this is something that needs to be done.