Once Again, EA Extends its Offer to Take-Two
Earlier this week, Electronic Arts once again extended its offer to acquire Take-Two, this time until August 18 at 11:59PM Eastern time. In other words, you can expect to see another extension around August 19 at about 9AM.
Already three deadlines have come and gone with no sign of Take-Two or EA budging. According to EA, only about 15% of Take-Two’s shares have been tendered as part of the offer, as of July 18, a fact which Take-Two must be quite pleased with.
The AP reports that Take-Two chairman Strauss Zelnick has offered a statement, saying, “Take-Two’s Board continues to be 100% committed to maximizing stockholder value and remains unanimous in continuing to recommend that our stockholders not tender their shares to EA.”
He continued, “We are fully engaged in a formal process to evaluate strategic alternatives that have the potential to deliver greater value than EA’s inadequate offer. As part of this process, we continue to engage in meaningful discussions with multiple parties, a number of whom have been conducting due diligence. We also remain absolutely focused on executing on our strategic and business objectives.”
By now, you would think EA would just pony up the extra money to convince Take-Two to sell. It’s quite clear that this offer isn’t sufficient and that these deadlines have accomplished nothing.