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EA strongarms Take-Two, goes public [Update] photo

Whoever said that weekends are slow apparently forgot to consult with CEO John Riccitiello. He drops the bomb on us this Sunday, going public with the news that EA is deadly serious about adding Take-Two to their portfolio of investments.

Although the previous bid was rebuffed privately, Riccitiello upped the ante by entering the public domain and offering $26 a share -- a premium of over 64 percent of Take-Two's current closing price. With that comes a stern warning:

"There can be no certainty that in the future EA or any other buyer would pay the same high premium we are offering today."

If you missed the quiet undertones, it reads something down the lines of "join us, or you'll regret it, later." Are we about to enter an era of annual GTA games? Try and withhold your judgement long enough to browse the press release, straight from the horse's mouth. Also, hostile takeovers.

[Update: Take-Two fires back, shrugging off the offer as a "devaluation" of their real worth.]

[Via Next-gen]


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70 comments | showing # 51 to 70

15Fps's Avatar - Comment posted on 02/24/2008 17:43
15Fps
i actually heard microsoft wanted to buy take two. maybe a bidding war will spawn from this
slapme7times's Avatar - Comment posted on 02/24/2008 17:54
slapme7times
"There can be no certainty that in the future EA or any other buyer would pay the same high premium we are offering today."

john's hardcore...

personally, i think it's a great offer, but EA's recent acquisitions smack of desperation... I wouldn't offer that much for take 2.
MasterSauce's Avatar - Comment posted on 02/24/2008 17:59
MasterSauce
Oh dear...Cue John Williams and the Imperial March



le sigh
F Whipple's Avatar - Comment posted on 02/24/2008 18:26
F Whipple
EA needs to STFUAJ(make)G
mcx's Avatar - Comment posted on 02/24/2008 18:30
mcx
Anus Mcphanus's Avatar - Comment posted on 02/24/2008 18:34
Anus Mcphanus
Can you imagine though if Take-Two didn't reject EA's offer and then when GTA 4 comes out... I would just love to grab a seat with some popcorn and watch the inevitable

Jack Thompson Vs EA fight-night round 4.3
Eschatos's Avatar - Comment posted on 02/24/2008 19:30
Eschatos
EA does not need to get any bigger. Please say no.
Kyousuke Nanbu's Avatar - Comment posted on 02/24/2008 20:14
Kyousuke Nanbu
EA is big enough, they don't need to expand any further.
liqideos's Avatar - Comment posted on 02/24/2008 21:11
liqideos
Well, if you look at EA's lack of success lately, and the declining value of their annual franchises, it's easy to see why they would want to position themselves as publishers with Valve, BioWare, Take Two, and ultimately, their long lusted piece of ass in Ubisoft.

Yearly franchises are dying a slow death, aside from the sports houses which have a following of rabid sports fans, who throw money at anything with their teams involved. Sixty dollars for a football/baseball/basketball game is a pretty good deal to someone who will fork out seven bucks for a beer at an A's game, and get absolutely butt fucked for eleven dollars just to park in Oakland of all places.

If you can position yourself with a myriad of proven houses and take over publishing duties, you're merely raking in the royalties as publisher for already established franchises, that don't necessarily have to come out ever year, since these are multiple studios putting out different titles, it wouldn't take much to figure that these games would invariably be spread out over time naturally.

EA is willing to spend money to market their games to the masses. EA is a name that people buy. Not many people outside of our closed off niche world could tell you what a Take Two is, but they could probably recognize EA or EA Sports.

Just saying, there is a positive way to look at this. It doesn't have to be all: "Oh NOEZ!", all the time.
Corak's Avatar - Comment posted on 02/24/2008 21:21
Corak
If EA would treat Take-Two that way it does their sports game franchises then if I were Take-Two I would tell EA to shove that offer up their ass. We will continue to make games in direct competition to yours so you have to be innovative. And since we know you can't do that, in a few years we'll be the ones buying you out as you beg us to.
RJG's Avatar - Comment posted on 02/24/2008 21:32
RJG
Take Two are overrated as it is. Getting bought by EA would probably kill them if they had to deliver any sort of quality on EA's annual basis.
Crunshii's Avatar - Comment posted on 02/24/2008 22:44
Crunshii
dammit gameboi lol, u updated! noeeessss ; ;
sacredchao's Avatar - Comment posted on 02/24/2008 22:56
sacredchao
Can anyone say "monopoly?" This is rather disturbing. I can't believe that any of you are suggesting that this would be anything but fucking awful. EA already has way to big a piece of pie. Having one company dictate what games do and do not see the light of day is a very bad idea - good ideas get crushed under the behemoth of bureaucracy, while trite mediocrities are pushed forth as being the next coming of the digital christ. It's BS and you people who say otherwise are suckers. No ifs ands or buts about it. Suckers.
RskimB's Avatar - Comment posted on 02/24/2008 23:12
RskimB
I'm hoping this deal doesnt go through but it isnt lookin very that it wont.
Ravana's Avatar - Comment posted on 02/25/2008 00:13
Ravana
My biggest concern with this is the censorship that EA will control. Take 2 has done a fine job producing adulterated content, which has been the target of numerous attacks. If EA is in the picture , I wonder if they would force censorship to placate the ignorant masses, screwing us all out of prostitute-smashing, gun-toting fun. I don't see why it would happen since adverse changes in their products would hurt sales, but it's the possibility that is worrisome.

Then there is the aforementioned problem of a monopoly...
Cowboy TTop's Avatar - Comment posted on 02/25/2008 08:22
Cowboy TTop
EA are getting a lot like the Empire of the industry. I can understand such moves from a money perspective, but I feel EA are taking this too far.

EA will be targeted because they are the largest publisher, and have destroyed some promising talented studios, Looking Glass Studios being on we never hear mentioned, who created the excellent Thief games. Now just imagine what else Looking Glass could have made, if they were still existed enough to grow and find their way. Same goes for Westwood etc.

Sure, the influx of money helps development cost but it also has the chains of financial risk attached, something these large companies like EA don't like. Creativity takes a back seat, and cookie cutter updates get pushed out.

Speaking of Criterion, I believe they are a talented bunch but beyond the positive evolution of Burnout, Criterion have only been able to flex their creative muscle on Black. That's such a shame, as much as I love their Burnout since EA took over. I think Criterion are capable of much more, but EA won't let them.

As for Renderware, its such a shame that this isn't being used anymore, especially with Wii being very capable of running it well for games. This is a bad move by EA, as they could be pushing Burnout and Renderware to Wii owners too.

On a more positive note, EA are changing with some good stuff in the pipe. Tiberium looks like a great edition to C&C. Bioshock and Orange Box have done well for them. There's more on the way.

No one wants another monopoly, after Game recently ate up the horde share of the games retail market in the U.K. Competition is always better to have.
AgentMOO's Avatar - Comment posted on 02/25/2008 10:36
AgentMOO
Expect to see shark meter in GTA4
RHWeeeee6's Avatar - Comment posted on 02/25/2008 12:42
RHWeeeee6
EA and Activision are both cancers on teh gaming community. They both need to learn that quality is way more important than quantity. Annual games get very repetative with each installment, there is not much improvement besides roster updates and such that you can get with a new game from the same franchise each year. I really hope this deal doenst go through.
Syn's Avatar - Comment posted on 02/25/2008 13:32
Syn
Money, get away.
Get a good job with good pay and you're okay.
Money, it's a gas.
Grab that cash with both hands and make a stash.
New car, caviar, four star daydream,
Think I'll buy me a football team.

Money, get back.
I'm all right Jack keep your hands off of my stack.
Money, it's a hit.
Don't give me that do goody good bullshit.
I'm in the high-fidelity first class traveling set
And I think I need a Lear jet.

Money, it's a crime.
Share it fairly but don't take a slice of my pie.
Money, so they say
Is the root of all evil today.
But if you ask for a raise it's no surprise that they're
giving none away.
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