Electronic Arts starts tender offer for Take-Two

Video game giant takes bid to shareholders, offers $26 a share cash.

EMAIL  |   PRINT  |   SHARE  |   RSS
 
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)

grand_theft_auto.03.jpg
EA made a tender offer for rival Take-Two, maker of the Grand Theft Auto video game series.

NEW YORK (CNNMoney.com) -- Electronic Arts said Thursday it has launched an all-cash tender offer to buy rival Take-Two for $26 a share.

The offer to buy shares from existing shareholders comes after EA's unsolicited takeover bid was rejected by Take-Two's board. The offer is estimated to be worth about $2 billion.

The $26 a share represents a 4.4% premium over Take-Two's closing share price on Wednesday night and is 64% above where the stock closed on Feb. 15 - the day Redwood City, Calif.-based EA (ERTS) launched its initial takeover pitch.

Take-Two (TTWO) is launching the latest in the lucrative Grand Theft Auto video game series April 29. EA had previously said it would like to takeover its rival quickly to put its marketing muscle behind the product. Unless extended, the deal will expire April 11. To top of page

Features
They're hiring!These Fortune 100 employers have at least 350 openings each. What are they looking for in a new hire? More
If the Fortune 500 were a country...It would be the world's second-biggest economy. See how big companies' sales stack up against GDP over the past decade. More
Sponsored By:
Tech's highest paid women Silicon Valley isn't known for its diversity, but it is home to a handful of highly paid female executives. More
9 reasons to be hopeful about women in tech These startups are working to leverage technology to level the playing field for minorities and women in tech. More
10 best states to retire in Forget Florida. Residents of these states are happy, safe, and have good health care -- all for the right price. More

Sponsors