We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
80,259 News Articles

EA gives up on $2bn deal for GTA IV publisher

Bid expires, but acquisition discussions continue

Electronic Arts has dropped its $2bn bid to acquire the publisher of the popular Grand Theft Auto game title.

EA originally offered $26 per share for Take-Two Interactive Software back in February, a deal Take-Two rejected as too low. Later, EA made a tender offer directly to Take-Two shareholders at a lower price of $25.74 per share.

But the potential remains for a new offer.

EA accepted a proposal by Take-Two to hear a presentation aimed at explaining why Take-Two believes EA's bids undervalue the company.
Take-Two will present a three-year product release schedule and financial projections, as well as discuss other underlying factors that drive the company, Take-Two said in a statement.

Take-Two reiterated that it remains in discussions with parties other than EA as well. The company has not divulged specifically who it is in talks with nor about what kind of deal.

In a letter to the head of Take-Two published on EA's website, EA CEO John Riccitiello signalled EA isn't very happy about the timing of the deal.
With the expiry of the tender offer, "we no longer believe we can integrate Take-Two ahead of the important holiday season", he said, noting EA will have to re-evaluate its position.

See also:

Grand Theft Auto IV review

IDG UK Sites

Sony Xperia Z3+ release date, price and specs: The Xperia Z4 for the UK

IDG UK Sites

Why Intel’s vision of the future is a future I want to live in

IDG UK Sites

10 amazing, creative uses of tech – and the brands behind them

IDG UK Sites

Jony Ive 'semi-retired' into new role: kicked upstairs as Chief Design Officer