Mon, Sep 15, 2008 | 12:47 BST
Take-Two takes post-EA stock-hit
Take-Two’s share have dropped 5.1 percent this morning, following news that EA has officially walked away from buyout negotiations with the firm.
“It boils down to price negotiations and the two companies not being able to come to terms,” said Arvind Bhatia, a Dallas- based analyst with Sterne Agee & Leach Inc. “Take-Two shares will likely trade back to the levels they were before EA’s bid.”
Short! This does now constitute advice. More on Bloomberg.
7 comments
#1
Newbie101
15/09/08, 12:48 pm
I know there will be loads of people saying ‘Great, yadadada, EA taking over the world’ but I honestly think T2 will regret this.
#2
patlike
15/09/08, 12:50 pm
I agree. Logic dictates that Zelnick and Feder have done a very stupid thing. Maybe they’ll prove us wrong.
#3
Psychotext
15/09/08, 1:00 pm
It has an awful long way to go before it hits pre takeover offer levels.
#4
Tiger Walts
15/09/08, 1:15 pm
I think we should wait until the GTA4 DLC before saying whether it was a sound decision or not.
#5
Psychotext
15/09/08, 1:21 pm
I don’t know if the DLC is going to make any difference. Anything they make from it will be going directly to MS anyway.
#6
patlike
15/09/08, 1:23 pm
I wouldn’t be at all surprised to see the price drop back rapidly. Ten, 20, 30 percent off a share is nothing in the grand scheme of things. Happens all day, every day.
I think the wisdom of the decision will be felt in the long-term. The question is whether or not T2 has the IP to survive and expand as a major player. My personal opinion is that it doesn’t.
#7
scuz
15/09/08, 2:19 pm
thank fuck for that.