Consumer Technology

Take-Two Gets 'Informal' Interest Aside from EA


Take-Two Interactive Softwaresaid on Thursday it has received informal inquiries but not written offers concerning potential business combinations since Electronic Artsproposed a $1.9 billion acquisition.

"From time to time the company receives, and since the issuance of the press release by EA the company has received, informal indications of interest in a business combination," Take-Two said in a filing with the U.S. Securities and Exchange Commission.

"However, the company has not received any written 'offers' ... and has not engaged in any substantive discussions with any party (including EA) with respect to a business combination," Take-Two said.

Some Shareholders Displeased

Major shareholders of Take-Two Interactive see rival Electronic Arts $1.9 billion offer as "woefully low," Take-Two Chief Executive Ben Feder said on Thursday.

"There is general agreement (among shareholders) that $26 dollars a share is woefully low, and EA can and should pay more," Feder said in an interview.

A deal with Electronic Arts would bring annual synergies in the "triple digits", meaning at least $100 million, he said.

EA made an unsolicited $1.9 billion offer for Take-Two public on Feb. 24. Take-Two, which publishes the blockbuster "Grand Theft Auto" game, said the offer "undervalues" the company.