T2 Cost to Fend Off EA: $11 Million+
Tristan Oliver | December 23, 2008
SEC Filing Reveals Cost of Freedom
A Securities and Exchanges Commission filing reveals that Take-Two Interactive spent more than $11 million as part of mulling over and eventually fending off an increasingly hostile buyout offer from Electronic Arts.
The bidding talks lasted seven months, with EA eventually giving up in September.
When news of the offer, first at $26 a share and then $25.74 a share, initially broke, T2 stock jumped to a 52-week high of $27.95. Yesterday, the stock closed at $7.82.
EA, for their part, isn’t faring much better. At one point being above $60 a share, the stock closed the trading day yesterday at just $16.38 a share. Not helping matters was a recent announcement that EA will be closing studios and laying off 1,000 additional employees in the coming year.
Do you think it was worth it for Take-Two to remain independent? Let us know through the comments below.
Filed Under Business & Industry, Gaming News
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